TechFlow News, May 6: According to The Block, investment bank TD Cowen stated that banking industry groups have formally opposed the compromise proposal on stablecoin yield, potentially further delaying the U.S. crypto market structure bill and reducing the likelihood of its passage this year.
Jaret Seiberg, Managing Director of TD Cowen’s Washington Research Group, said there is “no middle ground” between the banking industry and major crypto platforms. Banks oppose crypto platforms’ use of stablecoin-related rewards to attract retail users and retain liquidity within crypto wallets. Seiberg believes this dispute could delay consideration of the bill until June, with August—before Congress adjourns for recess—representing a critical deadline for advancing the bill’s passage.
