President Donald Trump publicly accused U.S. banks of obstructing two major crypto bills, the GENIUS Act and the CLARITY Act, and called on Congress to move them forward without delay. He made the remarks on Truth Social after weeks of stalled talks in Washington over stablecoin rules and broader market structure, even with White House-backed negotiations in progress.
Stablecoin rewards remain the main sticking point
Trump said banks are undermining the GENIUS Act while holding the CLARITY Act “hostage.” He argued that continued delays could weaken U.S. leadership in digital assets. He also said Americans should be able to earn more from their money, while claiming banks oppose stablecoin reward programs because those products challenge the traditional banking model.
The dispute at the center of the talks is narrow but consequential: whether stablecoin issuers should be allowed to offer yield-based rewards. Negotiations led by White House crypto adviser Patrick Witt ran past an informal March 1 deadline. Senators are still debating whether reward-bearing stablecoins could disrupt conventional banking. Banking groups want strict limits. Crypto firms are pushing for more flexibility.
Disagreement extends beyond banks and lawmakers
The split is not limited to Washington or the banking sector. Parts of the crypto industry are also divided over the current language of the CLARITY Act. Charles Hoskinson criticized the bill, arguing that its wording could result in most digital assets being treated as securities. His comments again targeted Brad Garlinghouse, who supports advancing the legislation.
Others have taken a different line. David Schwartz said a flawed bill is still better than no bill at all. Mike Selig also called for immediate passage, writing on X that the Commodity Futures Trading Commission is ready to implement the CLARITY Act.
Delays could spill over into broader market reform
Trump’s pressure has not resolved the uncertainty in the Senate. TD Cowen executive Jaret Seiberg said banks may eventually lose the stablecoin fight, but warned that prolonged negotiations could derail the broader legislative package. The risk is larger than one provision. A wider rewrite of U.S. crypto market rules could also be delayed.
JPMorgan analysts expect that the CLARITY Act could still pass by mid-2026. For now, lawmakers are waiting for a Senate markup session expected later this month. That meeting is likely to show whether the current deadlock can be broken.