U.S. Congressman French Hill Urges Senate to Advance Crypto Market Structure Bill, Stablecoin Yield Dispute Becomes Focus
Odaily News U.S. House Republican Congressman French Hill stated at the Milken Institute "Future of Finance" event on Tuesday that the Senate should consider directly advancing the crypto market structure bill already passed by the House to break the current legislative deadlock caused by the stablecoin yield issue.
Over the past year, both chambers of the U.S. Congress have been pushing to establish a comprehensive regulatory framework for the crypto industry. In 2025, the House passed the CLARITY Act (Clarity for Digital Assets Act), which received bipartisan support, including votes in favor from 78 Democratic lawmakers. However, the bill did not explicitly address the issue of stablecoin yields, which has become a major point of contention in Senate discussions.
The core of the dispute lies in whether platforms can provide yield rewards to users who hold or use stablecoins. The previously passed GENIUS Act prohibits stablecoin issuers from directly paying interest to holders but does not prohibit third-party platforms like Coinbase from offering rewards to users.
The banking industry argues that allowing stablecoin yields would lead to an outflow of deposits from traditional banks and impact community banks; while the crypto industry believes that restricting yields would stifle innovation and points out that this issue was thoroughly discussed during the GENIUS Act deliberations.
Hill stated that if the Senate cannot reach an agreement on this issue, it could directly adopt the relevant provisions of the House version of the CLARITY Act to advance legislation. He noted that the bill has received broad bipartisan support and could serve as a solution.
It is reported that over the past month, the White House has convened multiple meetings with representatives from the banking and crypto industries, hoping to reach a consensus before early March. However, informed sources indicate that although differences remain, this does not mean that the U.S. crypto market structure bill will ultimately fail to pass.
