U.S. Senate Banking Committee Unveils 'Clarity Act' Draft, Including Prohibition on Stablecoin Yields

On May 12, the U.S. Senate Banking Committee published a revised draft of the 'Clarity Act' (309 pages), which aims to establish a comprehensive regulatory framework for the cryptocurrency market. This amendment clarifies the jurisdictional boundaries between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), with a committee discussion set for May 14. The highlight of this draft release is the compromise clause concerning stablecoin yields, which has been a focal point of contention since January when opposition to the yield prohibition provision...