US banking groups renew opposition to CLARITY Act

Major U.S. financial interest groups, including the American Bankers Association (ABA), have once again voiced opposition to the CLARITY Act, arguing that interest-like returns offered by stablecoins could trigger a massive outflow of bank deposits, Cointelegraph reported. The banking sector claims a legal loophole remains that would allow stablecoin platforms to indirectly provide returns to users. They warn that if left unaddressed, this could cause one-fifth of lending to the real economy to disappear. However, Senator Tom Tillis, a key proponent of the bill, has directly refuted these claims, describing the legislation as a reasonable compromise for innovation.