A coalition of major U.S. banking trade groups said they support the CLARITY Act’s effort to establish a federal framework for digital assets, but warned that the bill still leaves unresolved issues around stablecoin rewards that could draw deposits away from traditional banks.
The statement came after the Senate Banking Committee approved the legislation in a 15-9 vote on Thursday, advancing the market structure bill to the full Senate.
Banking industry supports regulatory framework
The joint statement was issued by the American Bankers Association, Bank Policy Institute, Consumer Bankers Association, Financial Services Forum, Independent Community Bankers of America, and National Bankers Association.
The groups said the committee vote was “an important step” toward creating clear rules for digital assets, a goal they said the banking industry supports. They added that the version approved by the committee included “several significant improvements” over earlier drafts.
Stablecoin rewards remain main concern
Despite endorsing the broader legislative effort, the banking groups said the bill should be strengthened by tightening restrictions on “interest-like rewards” paid to users who hold stablecoins. Banks have argued that if stablecoin issuers can offer yield or similar incentives, consumers may shift deposits from checking and savings accounts into tokenized alternatives.
According to the trade groups, this could reduce the funding banks use to support consumer and small-business lending. “Without the necessary guardrails, stablecoin offerings are expected to draw away bank deposits and threaten local lending and economic activity across the country,” the groups said.
Tillis and Alsobrooks credited for changes
The banking associations credited banker outreach and bipartisan negotiations for improving the bill, specifically naming Thom Tillis and Angela Alsobrooks. Both senators were involved in discussions over stablecoin provisions and broader concerns about the impact of digital assets on the banking system.
Alsobrooks voted to advance the bill in committee but said she still wants additional changes before committing to support it on the Senate floor.
Moreover, Vincent Chok, CEO of First Digital, issuer of the FDUSD stablecoin, commented on the development, stating, “The Clarity Act, clearing the Senate Banking Committee’s markup, will be a significant step toward giving the digital asset industry the regulatory foundation it has long needed. This development shows that legislators are engaging with the nuances of how stablecoins actually function, rather than applying blanket restrictions. That level of understanding from a legislative body will be important for future regulatory updates to support the mainstream adoption of stablecoins.”
He added, “Moving towards a full floor vote, the outcome will define how the global stablecoin landscape looks. The standards that the US sets will become the new benchmark that institutional partners across APAC and EMEA expect. A successful vote moves this from a policy discussion to an operational reality that the industry needs to be ready for.”
Industry push continues ahead of Senate vote
The trade groups said they plan to continue working with senators “in good faith” to refine the legislation as it moves through Congress.
The Senate Banking Committee’s approval gives the CLARITY Act new momentum. Still, debate over stablecoin rewards and deposit flight remains one of the central issues that negotiators must resolve before a full Senate vote.
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