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Regulations & Policies

Crypto Regulation Fight Enters “Mask-Off Phase,” Boring Says

Boring says the fight is no longer hidden and fears that people will move all their money from banks to crypto platforms is exaggerated.

Written By:
Iyiola Adrian

Last updated: 29 minutes ago
Published 29 minutes ago
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Last updated: 29 minutes ago
Published 29 minutes ago
Crypto Regulation Fight Enters “Mask-Off Phase,” Boring Says

Key Highlights

  • Banks are openly pushing back against crypto rules, which Perianne Boring calls a “mask off” phase.
  • The CLARITY Act passed a key Senate committee vote (15–9), moving closer to a full Senate decision.
  • Banks are worried stablecoin rewards could pull money out of bank accounts and reduce lending for families and businesses.

Perianne Boring, founder and CEO of The Digital Chamber, says the conflict between traditional banks and the crypto industry has entered what she calls a “mask-off phase,” with banks becoming more vocal in their opposition to digital asset legislation.

Speaking during an interview on Fox Business’ Mornings with Maria, Boring said banks are no longer quietly trying to slow down crypto changes behind closed doors. Instead, she believes they are now speaking more directly against parts of the new law. “I’ve really called this stage of digital asset adoption as the mask off phase,” she said.

We’re in the “mask off” phase. Banks are pushing back on crypto. This isn’t about risk. It’s about resistance to change. Innovation is coming—whether they like it or not. @MorningsMaria pic.twitter.com/jCDjeai1IR

— Perianne Boring (@PerianneDC) May 19, 2026

Banks now speak more openly against crypto

Boring addressed a common concern in the debate. Some banks worry that if crypto platforms offer stablecoin rewards or yield on deposits, people will move their money out of normal bank accounts. Boring said this fear is being exaggerated.

She explained that in the real world, regulated crypto companies already offer yield services in the United States, and people are not leaving banks because of it. She said the talk about large amounts of money flowing out of banks does not match what is actually happening in the market.

Boring also said innovation in digital assets is not something that can be stopped. She said even if some groups resist it, crypto technology will continue to grow and become part of the financial system. She compared it to something already in motion, saying it is too late to block it now. 

“They really are the last standout in terms of the group of organizations who have yet to adopt this technology, but it’s coming. You can’t hold back innovation. You can’t put the toothpaste back in the tube. The technology is out there,“ she added. 

Her main point was that the banking system will eventually have to adjust to this change.

CLARITY Act moves forward in the Senate

The CLARITY Act moved forward last week when the U.S. Senate Banking Committee approved it in a 15–9 vote. The bill now goes to the full Senate for more discussion.

This bill is meant to set clear rules for how digital assets are treated and how banks and crypto companies should work under the same system. During the vote, it received support from all Republican members of the committee, along with Senators Ruben Gallego and Angela Alsobrooks.

Banking groups still worried about deposits

Major banking groups such as the American Bankers Association and the Bank Policy Institute said they support having clear rules for crypto. However, they warned about one major issue: the stablecoin rewards.

The banking groups said the bill is a good step forward, but they want stricter rules to limit these rewards. They believe clearer limits will protect the banking system from losing deposits. Even with these concerns, they admitted that the current version of the bill is better than earlier drafts.

Senator Angela Alsobrooks supported moving the bill forward in committee but said she still wants changes before she fully supports it in a final Senate vote. This shows that even inside the government, the discussion is not finished yet, and lawmakers are still adjusting the details.

Boring, however, said the broader direction is already clear. She believes digital assets are becoming part of normal finance and that resistance from banks is mostly about slow adjustment, not stopping the technology.

Also Read: Japan Creates Legal Path for Foreign Stablecoins Under FSA Rules

Disclaimer: The information researched and reported by The Crypto Times is for informational purposes only and is not a substitute for professional financial advice. Investing in crypto assets involves significant risk due to market volatility. Always Do Your Own Research (DYOR) and consult with a qualified Financial Advisor before making any investment decisions.

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Iyiola - Crypto Journalist at The Crypto Times
By Iyiola Adrian
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Iyiola is an experienced crypto writer specializing in simplifying complex blockchain and cryptocurrency topics for a broad audience. With expertise in ICOs, DeFi, NFTs, and regulatory updates, he offers valuable insights to help readers make informed decisions.

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