Coinbase Seals Deal on Key Crypto Legislation Provision

Coinbase has secured a compromise deal on a key provision in the U.S. crypto legislation, paving the way for the bill to progress through the Senate.

The legislation had been stalled due to disagreements between banks and crypto companies regarding yield-bearing products and rewards on stablecoins.

A new compromise language, finalized by Senators Thom Tillis and Angela Alsobrooks, includes a broad prohibition on rewards that are economically or functionally equivalent to interest-bearing bank deposits. Regulators will also propose a new stablecoin disclosure regime and a list of permissible reward activities.