U.S. cryptocurrency regulation has finally made progress. The negotiations on the 《CLARITY Act》, which began earlier this year, were effectively wrapped up last Friday by Senator Thom Tillis and Democratic Senator Angela Alsobrooks, bringing things to a close.

I’ve noticed that the most central point of contention—the issue of stablecoin yield—has finally reached a workable compromise. Under the new rules, platforms may not simply pay interest because users hold stablecoins, but there’s a crucial caveat: rewards based on real activities such as trading, payments, market making, and staking are still allowed. In other words, as long as you truly use the platform—making trades, transferring funds, and participating in liquidity mining—the rewards you earn won’t be cut down by a single point.

Coinbase Chief Policy Officer Faryar Shirzad frankly admitted on Twitter that banks have indeed imposed more restrictions on incentive mechanisms, but they held onto what matters most: U.S. users can still receive corresponding rewards for genuine use of the platform. This is a significant win for the entire coin stock ecosystem.

Why is Coinbase so concerned? The data says it all. In 2025 alone, their stablecoin business is expected to bring in $1.35 billion in revenue, with most of that coming from revenue sharing related to their partnership with Circle in issuing USDC. That figure alone is enough to show how important stablecoins are to exchanges. They have also recently released quarterly financial reports, which indicate the continued performance of this segment.

The bill also includes other limitations: platforms cannot claim that stablecoins are “investment products” or enjoy FDIC insurance, and violations can carry maximum fines of $5 million. In addition, within two years, the Federal Reserve and the Treasury must evaluate the impact of dollar stablecoins on traditional bank deposits—essentially giving banking lobbying groups a bargaining chip for a renewed push in the future.

But the review is far from over. Tim Scott, Chair of the Senate Banking Committee, has not yet announced an official hearing date. The bill will still need to be coordinated with a version from the Senate Agriculture Committee and then sent to the full Senate for a vote. After it passes, it will also require final negotiations with the House version that was passed last July. Every step of cryptocurrency policymaking is difficult, but this compromise at least shows that regulators and the industry have found some kind of balance.

So what does this mean for coin stock investors? At minimum, policy uncertainty surrounding the stablecoin ecosystem has decreased, and platforms now have clearer boundaries when designing their incentive mechanisms. The next question is how these rules will actually be implemented—and how the market will respond.