Federal Reserve (Fed) Governor Christopher Waller said on Monday that progress on the long‑anticipated crypto market structure legislation, commonly referred to as the CLARITY Act, appears to have stalled in Congress.
His remarks come as lawmakers remain divided over key issues, most notably stablecoin yield provisions and the Federal Reserve’s proposal for so‑called “skinny” master accounts, a topic earlier highlighted by Crypto In America.
Stablecoin Yield Fight Fuels CLARITY Act StalemateAccording to MartyParty, the delay is not accidental. He argued that resistance from the banking sector has intensified, particularly around the treatment of stablecoin yields and rewards.
Crypto industry advocates contend that yield‑bearing stablecoins encourage adoption, improve efficiency, and increase competition in the payments market. Banking groups, however, strongly oppose this view.
In MartyParty’s assessment, banks are concerned that passage of the CLARITY Act could move trillions of dollars onto crypto‑based payment rails, breaking what he described as the banking sector’s “closed‑loop system” and putting pressure on long‑established profit models.
Crypto And Banks Head Back To White HouseThe meeting is expected to include senior policy officials rather than company chief executives, along with representatives from banking and crypto trade associations.
The debate around skinny accounts became especially clear through 44 comment letters submitted to the Federal Reserve. Crypto firms and industry groups generally expressed support, while banking organizations responded with caution or outright opposition.
Governor Waller indicated that he hopes the Federal Reserve will be able to publish proposed regulations for skinny master accounts in the fourth quarter of this year.
Featured image from OpenArt, chart from TradingView.com
