White House Discusses Stablecoin Yield: Progress Made but No Final Agreement Yet

The latest meeting at the White House regarding stablecoin yields was described as “constructive” by both banking and crypto industry representatives, but no final agreement has been reached.
During the meeting, banks presented a document clearly outlining the “prohibited principles” – that is, the limits they are willing or unwilling to concede regarding (rewards) for stablecoins. Notably, the banking side for the first time mentioned the possibility of considering “proposed exceptions,” indicating a softer stance compared to previous positions.
The main debate centered around the concept of “permitted activities” – the conditions under which crypto companies can offer rewards to users. Crypto advocates want this definition to be broader, while banks aim to narrow the scope to limit risks.
Ripple’s General Counsel, Stuart Alderoty, commented that “a spirit of compromise is emerging.” The White House has urged both sides to reach an agreement by March 1, with further discussions expected in the coming days.
Although no final conclusion has been made, this smaller and more focused meeting is considered to be more substantive and effective than the previous one.