White House tells “greedy” banks to “move on” from CLARITY Act stablecoin yield fight

A White House digital assets official has slammed the traditional banking sector's continued opposition to the proposed stablecoin yield compromise in the CLARITY Act. On April 17, Patrick Witt, the executive director of the White House Presidential Advisory Committee on Digital Assets, accused the financial institutions of “greed or ignorance” due to their intensified lobbying efforts to block yield-bearing stablecoins in the upcoming legislation. According to him: “It’s hard to explain any further lobbying by banks on this issue as motivated by anything other than greed or ignorance. Move on.” US lawmakers make bipartisan sablecoin yield compromise for CLARITY Act The unusually sharp rhetoric from the administration reflects the widening rift between the White House and Wall Street over the future of the $320 billion stablecoin market . Over the past year, the White House has made significant efforts to reach a compromise between the banking industry and the crypto sector. However, all has proven abortive so far. The latest is the Tillis-Alsobrooks proposed bipartisan compromise, which would ban passive yield on stablecoin balances while continuing to permit activity-based rewards. However, unnamed banking trade associations reportedly argue that even this restricted framework poses a structural threat to the traditional financial system. As a result, they have expanded their lobbying campaign to target multiple senators on the Senate Banking Committee. Notably, the bankers, through the American Bankers Association, previously claimed that the stablecoin yield