TechFlow News, March 9: According to a CoinDesk report, Christopher Giancarlo, former Chairman of the U.S. Commodity Futures Trading Commission (CFTC), stated that the currently stalled “Digital Asset Market Structure Act” holds far greater significance for the banking industry than for the crypto sector. He noted that bank legal counsel are advising their boards that, without regulatory certainty, they cannot invest billions of dollars in building digital payment infrastructure.
The bill has been stalled since January, with the main point of contention being whether crypto firms should be permitted to offer rewards to stablecoin holders. Banks worry such incentives could trigger capital outflows and are demanding a “level playing field,” while crypto firms—including Coinbase—strongly oppose the provision.
Giancarlo warned that if banks continue resisting, related crypto business will shift to Europe and Asia, placing U.S. banks in an even more disadvantageous position. He estimates the bill’s chances of eventual passage at roughly 60–40, but noted that both sides have already missed the White House’s March 1 deadline, and numerous issues remain unresolved.
