Key progress in the CLARITY bill: compromise reached on stablecoin yield rules, entering final countdown to review.

CoinFeed reported on May 4th, citing Cryptoinamerica, that the US CLARITY Act has reached a key compromise on stablecoin yield mechanisms, clearing a major obstacle for the Senate Banking Committee to proceed with its review. Under the new proposal, crypto companies can offer rewards based on user transaction activity (such as cashback or membership benefits), but are prohibited from paying interest yield (APY) on idle stablecoin balances. This compromise means that stablecoins will be explicitly positioned as payment instruments, rather than bank deposit-like or high-yield savings products. Industry insiders generally believe that this provision strikes a balance between the crypto industry and traditional banks, but is ultimately more favorable to the banking system. Industry institutions, including Coinbase, have reaffirmed their support for the bill, arguing that while yield restrictions have been tightened, space for rewards based on actual use cases is still preserved.