On the eve of the US Senate's consideration of the digital asset bill, the banking industry proposed a compromise to amend the terms of stablecoin yields.

CoinFeed reported on May 11th, citing Bloomberg, that ahead of the Senate Banking Committee's review of the digital asset bill, banking groups are proposing a last-minute modification to the compromise on stablecoin yields. The proposed change would completely prohibit stablecoin issuers from offering any form of reward, instead of the previously allowed model where users could earn rewards for actively using stablecoins. Six banking lobbying groups, including the American Bankers Association, stated in a letter that the exceptions in the senators' compromise would "harm deposits." The crypto industry quickly responded, with Coinbase Chief Legal Officer Paul Grewal writing on the X platform that the banking proposal was not a "narrow amendment" but rather aimed at "stifling competition."