President Donald Trump has accused major banks of undermining cryptocurrency legislation, urging Congress to pass the CLARITY Act quickly. This follows JPMorgan CEO Jamie Dimon’s argument that crypto firms offering stablecoin rewards should be regulated as banks. The dispute over yield programs has stalled the market-structure bill, even as regulators move to implement the already-enacted GENIUS Act for stablecoins.
President Donald Trump publicly accused major banks of attempting to undermine the administration’s crypto agenda in a post on Truth Social. He urged lawmakers to quickly pass the CLARITY Act, warning that delays could push the industry overseas.
The comments escalate a dispute over whether stablecoin platforms should be allowed to offer yield to users. At the center is JPMorgan Chase CEO Jamie Dimon, who argued companies seeking to pay rewards should operate under banking rules.
Dimon stated in an interview, “If you want to be a bank, become a bank.” He warned that unequal regulation could destabilize the financial system.
This standoff has derailed progress on the CLARITY Act, which would define regulatory oversight between the SEC and CFTC. Negotiations broke down after Coinbase withdrew support, citing amendments that could restrict stablecoin rewards.
In contrast, the GENIUS Act was enacted last summer, creating a federal framework for payment stablecoins. The Office of the Comptroller of the Currency is now moving ahead with rules to implement the statute.
Industry advocate Ji Hun Kim of the Crypto Council for Innovation told Decrypt, “American leadership in digital assets is a national priority, and it remains imperative that the U.S. leads.” However, the broader market-structure legislation remains stalled.
White House officials had hoped for a compromise between bank and crypto lobbyists by early March. People involved say the two sides remain far apart, with banks pushing for tighter limits on yield programs.
Without a resolution soon, the chances of passing the CLARITY Act this year could diminish sharply. Congress is approaching the midterm election cycle, adding pressure to the stalled negotiations.
