Recent discussions at the White House regarding stablecoin yields show ‘advancement’ with financial institutions, but no agreement has been reached.

In the most recent of a series of discussions held at the White House, bankers and experts in crypto policy convened to address the barriers preventing progress on the market structure bill.

The latest crypto gathering at the White House aimed to resolve an impasse on the market structure bill. (Jesse Hamilton/CoinDesk)

What to know:

• Recent discussions between the banking sector and crypto industry made “advancements,” though no major agreement has been reached.
• Banking representatives and crypto policy experts reconvened at the White House to explore whether this third meeting could yield a compromise regarding stablecoin yields.

Further advancements were noted, yet no agreement has been finalized following a White House meeting on Thursday aimed at reconvening stakeholders on U.S. digital asset legislation, as reported by crypto insiders in attendance.

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"Today’s productive meeting at the White House underscores the significance of focused collaborative engagement," stated Ji Kim, the CEO of the Crypto Council for Innovation, a frequent participant in these discussions. "The dialogue built on earlier meetings to create a framework that benefits American consumers while enhancing U.S. competitiveness," he remarked, noting that there will be "more developments to follow" to advance progress.

"The discussions were constructive and the atmosphere was cooperative," Paul Grewal, the chief legal officer at Coinbase, expressed in a post on the social media platform X, asserting that the parties achieved "more progress."

This meeting marked the third in a series intended to overcome the stalemate that has immobilized the crypto market structure bill on an issue unrelated to market structure. The U.S. banking sector firmly opposed the previous legislative attempt — the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act — which permitted crypto firms to provide rewards on stablecoins. Bankers contend that such rewards jeopardize the deposit business fundamental to their industry, insisting that the Digital Asset Market Clarity Act revisit this aspect of the GENIUS Act.

During the latest meeting, bankers presented a principles document that excluded discussions of compromise, leading Thursday’s session to extend beyond the planned two-hour timeframe, according to sources familiar with the meetings. White House officials encouraged participants to remain until common ground was identified, even requesting that they surrender their phones, sources indicated.

The issue of whether stablecoins can provide yield, akin to products offered on platforms like Coinbase, remains a key contentious point in the legislation governing U.S. crypto markets. A prior compromise effort aimed to eliminate rewards on static stablecoin holdings while retaining them for specific activities and transactions involving those assets. However, banks maintained their stance that all rewards should be prohibited.

Should the industries reach an agreement on this matter, it does not guarantee a congressional win. The Senate Banking Committee must hold a hearing to consider the legislation’s advancement, similar to the Senate Agriculture Committee’s actions when it voted along party lines to approve its own version. To pass a bill in the Senate, substantial Democratic support will be necessary, which has yet to materialize.

Democratic negotiators have emphasized several critical points, including a prohibition on senior government officials holding significant business interests in crypto — a concern aimed directly at President Donald Trump. They have also requested that the White House appoint members to the Commodity Futures Trading Commission and the Securities and Exchange Commission, particularly filling the Democratic vacancies. Additionally, they have sought stricter regulations concerning illicit finance risks, especially within decentralized finance (DeFi).

So far, none of these demands have been met with satisfactory proposals from the Republicans and the White House.

The Clarity Act is the primary policy objective for the crypto sector. Once U.S. regulations are firmly established, the industry anticipates a notable increase in activity and investment as it integrates more fully into the U.S. financial system.

Read More: Banking trade groups responsible for impasse on market structure bill, Brian Armstrong says

UPDATE (February 19, 2026, 19:17 UTC): Adds comment from CCI’s Ji Kim.