US Stablecoin Yield Rule Release Delayed as Banks, Crypto Industry Clash

The release of proposed rules on yield-bearing stablecoins, a central sticking point in US stablecoin legislation, is set to be delayed.

Eleanor Terrett, host of Crypto in America, wrote on X on June 16, citing a Politico report, that Senator Thom Tillis is unlikely to release provisions on stablecoin yield this week until there is greater clarity on the bill’s markup schedule.

Tillis said in an interview that he would not release the legislative text this week, indicating the timing could slip until next week or later.

The delay comes as banks and the crypto industry remain at odds over whether stablecoins should be allowed to pay interest. The bill under discussion is expected to include regulations for programs that offer annual percentage yield, or APY, to stablecoin holders. Wall Street has raised concerns that such structures could draw funds away from bank deposits.

Tillis has been coordinating bill language containing the provision with Senator Angela Alsobrooks, and revisions reflecting banks’ concerns are still under way.

Terrett wrote that the delayed release appears intended to avoid excessive outside review and political pressure before the markup schedule is finalized. The move also appears aimed at securing more time for coordination and minimizing points of contention.

The delay is being interpreted in the market as a sign that conflicts over the direction of stablecoin regulation remain unresolved, rather than as a simple procedural issue. Whether yield payments will be permitted is viewed as a key factor in determining stablecoins’ future competitiveness and influence in financial markets.