A major crypto trading platform has withdrawn its support for the CLARITY Act, triggering fresh tensions between the tech sector and the White House over stablecoin yield restrictions. The move comes as Senate vote timelines have been pushed back, leaving the bill in limbo ahead of the 2026 midterm elections.
The dispute reveals a fundamental split in the financial sector. Traditional banks worry that loosening stablecoin yield caps could trigger significant deposit outflows, destabilizing their business models. Cryptocurrency firms, meanwhile, are pushing hard for regulatory flexibility—argui