Compromise draft of the Clarity Act unveiled…industry split as Coinbase pushes back

A compromise package surrounding the US digital-asset market structure bill, the “Clarity Act,” has been unveiled, exposing divisions within the industry.

According to CoinDesk on the 25th (local time), the digital-asset sector is split for and against a recently disclosed compromise related to the reward structure for stablecoins.

Coinbase in particular is said to have voiced dissatisfaction with the wording of the agreement, though it has not officially stated opposition.

The compromise includes provisions that would have regulators define stablecoin reward programs through separate rules. This has raised concerns that companies’ discretion in designing reward structures could be curtailed.

Some also note that structures that provide rewards based on transaction volume could be restricted, potentially weakening incentive models similar to traditional credit-card points.

Differences of opinion within the industry are pronounced. Some argue that scaling back stablecoin rewards could hurt their businesses, while others view the bill’s passage itself as a key turning point for bringing the digital-asset industry into the regulatory mainstream.

During the discussions, disagreements reportedly surfaced between some companies, including Coinbase, and other industry participants.

Market reaction was immediate. Circle’s shares fell about 20% in a single day on the back of the debate, before paring some losses.

Some observers, however, suggest that competitive factors—such as Tether’s push for an audit—may also have contributed to the share-price move.

The White House cautioned against overinterpretation. Patrick Witt, the White House adviser for digital assets, struck an optimistic tone, saying, “Everything will go well.”

The revised bill is expected to be released as early as late this week or early next week.