Major banking groups are intensifying their lobbying efforts against proposed stablecoin rules in the CLARITY Act, targeting lawmakers like Thom Tillis and Angela Alsobrooks. The core issue is whether stablecoins should be allowed to offer yield, even in a limited form tied to user activity rather than passive interest.

The compromise on the table would ban passive yield but still allow certain rewards. However, groups like the Consumer Bankers Association and American Bankers Association argue this still poses a serious threat. They claim that as stablecoins grow, they could pull significant deposits out of traditional banks, potentially weakening lending capacity and financial stability.