Coinbase Chief Legal Officer Paul Grewal stated that lawmakers are “very close to a deal” on the stalled Clarity Act crypto market structure bill. The legislation’s stablecoin yield provisions have faced banking sector opposition over deposit flight concerns, but Grewal asserted there is “no evidence” of such outflows. He projected the bill could advance to a Senate Banking Committee markup within weeks.
Coinbase Chief Legal Officer Paul Grewal said lawmakers are near a resolution on the Clarity Act, a crypto market structure bill stalled over stablecoin yield provisions. Grewal expressed confidence negotiators would bridge the divide on Fox Business, stating, “We’re seeing a real recognition that rewards are important.”
The banking industry has opposed the bill, fearing deposit outflows to crypto platforms offering yield. Grewal directly addressed this concern, stating, “I can understand the theoretical argument.” He countered, however, that “there has been no evidence of deposit flight whatsoever.”
Grewal projected quick legislative movement, saying the bill could see a Senate Banking Committee markup “hopefully as soon as in the next few weeks.” He added he was “very confident we’re going to see progress” on the stablecoin yield agreement within 48 hours and later tweeted that Congress is “ready to act.”
The controversy previously forced the cancellation of a committee session in January. Senators Thom Tillis and Angela Alsobrooks later negotiated compromise draft text leading to an “agreement in principle” with the White House.
Prediction markets show growing confidence, with Polymarket traders giving the Clarity Act a 65% chance of being signed into law this year. Market turmoil has already occurred, with Circle‘s stock plunging 20% on news of potential restrictions and Ethereum funds shedding $222 million.
Senator Bernie Moreno stated the legislation faces a key vote in April and must pass by May. He warned that otherwise “digital asset legislation will not pass for the foreseeable future.”
