Ripple CEO says door is open for bank-crypto cooperation… urges talks on stablecoin yield

Brad Garlinghouse, chief executive officer (CEO) of Ripple, stressed the potential for cooperation between banks and the crypto industry and urged a constructive approach in negotiations over stablecoin returns (interest).

According to Cointelegraph on the 1st (local time), Garlinghouse said in recent remarks that “the door is wide open for deals between banks and the crypto industry,” adding that “banks should come to the table and negotiate in good faith.”

In the US, whether stablecoin holders should be allowed to receive returns has emerged as a key point of contention. The issue is cited as one reason for delays in the ‘CLARITY Act.,’ a market-structure bill for the US crypto market. Crypto firms argue users should be compensated, while banks are concerned about deposit outflows and potential risks to financial stability.

Garlinghouse’s comments are being interpreted as signaling room for compromise amid the stalemate. The industry sees the alignment of interests between banks and crypto companies as a key variable that will shape the direction of future regulation as debate over the market-structure bill continues.