Key highlights:
- White House officials met crypto and banking leaders to resolve disputes over the CLARITY Act’s stablecoin provisions.
- Senate committees are divided on oversight roles, delaying progress on a unified digital asset framework.
- The debate over stablecoin yields centers on investor protection and financial stability safeguards.
Representatives of the Trump administration met with leaders from the cryptocurrency and banking sectors to discuss key issues surrounding stablecoin regulation, as lawmakers continue debating the structure of digital asset markets in the United States.
The talks come as the U.S. Senate considers legislation aimed at defining oversight responsibilities and regulatory standards for digital assets, including stablecoins, decentralized finance platforms, and tokenized securities.
Inside the White House meeting on the CLARITY Act
According to The Digital Chamber, its CEO Cody Carbone joined other industry representatives at the White House on February 2 to address controversial elements of the proposed CLARITY Act. The bill seeks to clarify regulatory jurisdiction between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).
Today, the crypto and banking industry came to the table at the @WhiteHouse to discuss a critical issue to moving market structure legislation forward, stablecoin yield. pic.twitter.com/3gUMrbUVKc
— The Digital Chamber (@DigitalChamber) February 2, 2026
The Senate Banking Committee postponed consideration of the legislation in January, citing unresolved issues. Lawmakers continue to debate how to regulate tokenized securities, decentralized finance protocols, ethical standards for elected officials holding digital assets, and whether stablecoin issuers should be permitted to offer yield or rewards.
Carbone described the meeting as a step forward, saying participants remain optimistic about shaping a fair regulatory environment as policy details are refined.
White House cryptocurrency advisor Patrick Witt called the discussion constructive and solution-oriented, expressing confidence that regulators and industry leaders can reach workable compromises.
Representatives from the Cryptocurrency Innovation Council, the American Bankers Association, and the Blockchain Association also attended, signaling broad cross-sector engagement.
Senate committees face a coordination challenge
The Senate Agriculture Committee recently advanced its version of the market structure bill without Democratic support. Meanwhile, the Senate Banking Committee continues work on provisions related to SEC oversight. Before any final vote, the committees will likely need to reconcile their approaches into a unified legislative framework.
The meeting took place during a partial U.S. government shutdown, adding political tension to an already complex debate. Disagreements over federal funding and immigration enforcement have slowed broader legislative momentum, potentially affecting the timeline for digital asset reform.
Why stablecoin yields are at the center of the debate
At the heart of the policy dispute lies a fundamental question: if stablecoins are meant to maintain a stable value, should they also generate returns for holders?
Stablecoins function similarly to bank deposits in that they promise redeemability and stability. However, unlike traditional bank deposits, they operate as programmable blockchain-based tokens. This hybrid nature blurs long-standing boundaries between banking regulation and securities law.
If stablecoin issuers offer yield, regulators must determine who bears the underlying financial risk and what safeguards should apply. Traditional banks address such risks through deposit insurance, capital requirements, and reserve standards.
Policymakers are now weighing whether comparable protections are feasible within the crypto ecosystem without undermining its technological advantages.
Source:: Crypto Leaders Meet Trump Officials As Senate Bill Stalls