White House to Host Crypto and Banking Leaders for CLARITY Act Talks
Highlights:
- White House talks aim to resolve stablecoin reward disputes that are delaying the CLARITY Act.
- Banks and crypto firms remain divided over third-party yield on dollar-pegged stablecoins.
- Senate delays continue as committees struggle to align on crypto market oversight.
Officials in US President Donald Trump’s administration are preparing to meet banking and cryptocurrency executives on Monday. People familiar with the matter told Reuters that the White House crypto council will host the discussions. The meeting comes as lawmakers look for a path forward on the stalled CLARITY Act. Disagreements over stablecoin rewards remain the central obstacle.
The meeting is scheduled for February 2 and will bring together banks, crypto exchanges, and industry trade groups. According to sources, the agenda will focus on how the bill treats interest and rewards on dollar-pegged stablecoins. These provisions have drawn sustained debate from both financial institutions and digital asset firms. Officials believe the issue requires direct negotiation.
Bloomberg reported that a Coinbase representative is expected to attend the gathering. Several crypto lobbying organizations are also set to participate. The administration plans to guide discussions through its crypto council. Officials see the meeting as a forum to align positions before further congressional action.
The talks have stretched over almost two weeks with no breakthrough. Sources indicated that the meeting might be postponed should the discussions fail to reduce gaps. Despite that, the authorities consider direct involvement as the only option due to the paralyzed legislative process. Legislators have found it hard to develop the CLARITY Act without industry-wide backing.
Senate Impasse Grows as CLARITY Act Collides with Yield Debate
The CLARITY Act aims to explain the regulation of digital assets in the United States. It specifies the division of oversight between the Securities and Exchange Commission and the Commodity Futures Trading Commission. The stagnation came when legislators disagreed on stablecoin yield. The controversy revolves around whether rewards can be given by third parties.
The GENIUS Act, which became law in July 2025, prohibits stablecoin issuers from paying interest. Nevertheless, it does not explicitly limit reward offers by exchanges or intermediaries. That disparity has created a point of tension between crypto firms and banks. Banking groups claim that third-party yield may promote deposit migration.
Bank of America CEO Brian Moynihan publicly expressed his concerns on January 15. Interest-bearing stablecoins, he warned, could attract up to $6 trillion of US bank deposits. Moynihan said that massive outflows can restrict lending and raise the cost of borrowing. Bank lobbyists have since requested that Congress seal the perceived loophole.
Crypto firms do not agree with that framing. Exchanges such as Coinbase claim that banks are trying to suppress competition with their proposal in the CLARITY Act. Coinbase CEO Brian Armstrong pulled the company’s support of the bill on January 14. He remarked that Coinbase would prefer not to have a bill rather than one that limits innovation.
Industry Reacts Ahead of the Meeting
Crypto industry groups have begun responding publicly ahead of the White House meeting. The Blockchain Association confirmed it will participate in the discussions. CEO Summer Mersinger said the group was proud to participate in next week’s meeting. She said engagement with policymakers across party lines remains necessary as lawmakers work on the CLARITY Act.
Cody Carbone, CEO of The Digital Chamber, also welcomed the talks. He credited the White House with “pulling all sides to the negotiating table.” Sources familiar with the discussions said divisions remain within Congress, including disagreements among Republicans over stablecoin provisions. Senators leading the effort have expressed concern about whether the CLARITY Act has enough votes to advance.
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