TexasTJ
4.2K posts

TexasTJ
@TexasTJ70
Texan, Constitutional Conservative, Christian 🇺🇸 🇺🇸 No DM’s without permission. Gen X. Pure🩸


CRAZY: 🇺🇸Coinbase rejects the latest CLARITY Act compromise, just as lawmakers said a deal was close.





The banks are on board, the crypto industry is on board, the White House is on board, and President Trump wants the bill on his desk this spring. The only thing standing in the way of the CLARITY Act right now is Coinbase, because they care more about what’s good for Coinbase than what’s good for the crypto industry. One company should not be able to hold up legislation this important.








This debate is frankly becoming ridiculous, and Congress needs to step in and take back control over the passage of the CLARITY Act. Banks want to ban passive yield because it gives consumers an alternative place to hold their digital dollars and get paid 4% yield—as opposed to the average 0.07% interest on their bank deposits. Coinbase wants to allow passive stablecoin yield because it preserves their profit margin and their arrangement with Circle concerning incentives to custody customer USDC on Coinbase. Neither side is obviously willing to budge. Congress therefore needs to step in, settle this once and for all, and make this debate about the consumer. Let consumers have choices about what and where they can earn on their stablecoins. Option 1: If Circle wants to continue paying out a large share of their return on stablecoin treasury reserve assets to Coinbase—so Coinbase can in turn pay 4% yield to consumers as an incentive to mint and hold USDC on Coinbase—that's a business decision for Circle and Coinbase, and a genuine alternative to banks for consumers. Option 2: If banks refuse to share more of the profits they make on fees and lending out customer money in order to pay customers higher interest on deposits, that's also a business decision for the banks—and it also allows consumers to choose where they want to custody their digital dollars. Competition is good. Monopolies are bad. Competition lets the consumer and the market decide. A monopoly limits free markets and leaves the consumer with no options. How about Congress fight for the consumer? #Coinbase #Circle #USDC #CLARITYACT





News in PBN Midday: Coinbase told Senate offices this week it could NOT support the late st version of a stablecoin yield compromise. Key senators have been projecting optimism over the last few days about a deal being close. Coinbase killed the last markup over yield concerns














