The White House is preparing to convene senior executives from major cryptocurrency firms and traditional banks for discussions aimed at breaking the deadlock over the digital asset market structure bill. The legislation, which has been delayed in Congress, has encountered resistance around how it proposes regulating stablecoins, particularly provisions affecting interest bearing or reward linked features tied to dollar pegged tokens. According to people familiar with the matter, the meeting will focus on narrowing disagreements between the crypto industry and banking sector, both of which see the stablecoin framework as central to the bill’s long term impact. The summit will be hosted by the administration’s internal crypto policy council and reflects growing urgency to address unresolved policy questions as lawmakers weigh whether the bill can advance in its current form.
At the core of the dispute is whether stablecoin issuers or their exchange partners should be permitted to pass yield generated from reserve assets on to users. Banking executives have argued that allowing rewards could encourage deposit flight from traditional institutions, framing stablecoins as a competitive threat to the existing financial system. Crypto firms counter that yield sharing is a consumer benefit that promotes efficiency and innovation in digital payments. These opposing views have influenced lawmakers across party lines, contributing to the bill’s delay earlier this month. The White House meeting is intended to gather direct feedback from market participants on how stablecoin rewards should be treated under federal law, and whether compromises can be reached without undermining either financial stability or innovation.
Industry groups confirmed they will participate in the discussions, signaling that both sides see the talks as a critical moment for U.S. crypto policy. Trade associations representing digital asset companies have emphasized the need for clear and durable rules that balance consumer protection with competitiveness, while banks continue to press for guardrails aligned with existing regulatory standards. The involvement of senior White House economic and financial officials underscores how central the stablecoin issue has become to the broader market structure debate. As Congress revisits the legislation, the outcome of these talks could shape whether the bill regains momentum or remains stalled, with implications for how stablecoins, exchanges, and financial institutions interact in the evolving digital asset landscape.
