Compass Investments The U.S. administration is pushing financial institutions

📌 The U.S. administration is pushing financial institutions and the cryptocurrency industry to reach an agreement on stackcoin yields by February.

The bills momentum stalled last month when Coinbase withdrew its support, citing a ban on stackcoin yields as a key obstacle to a deal. . Coinbase

The bill’s momentum stalled last month when Coinbase withdrew its support, citing a ban on stackcoin yields as a key obstacle to a deal.

otably, Coinbase’s position was at odds with the views of venture capital funds a16z and Ripple, which are also significant backers of the industry’s largest party coalition, Fairshake.

In late January, the White House insisted that Coinbase return to the negotiating table. However, the process has not been seamless.

According to The Wall Street Journal (WSJ), major bank executives, including Jamie Dimon of JPMorgan, got into a heated discussion with Coinbase CEO Brian Armstrong over the remuneration for stackablecoins at the World Economic Forum meeting in Davos.

ot surprisingly, bankers remain firmly opposed to stackcoins, even after recent consultations with the White House.

In a statement, the American Banking Association (ABA) called for “balanced and effective regulation” of cryptocurrencies, emphasizing that:

“As we said at the meeting, it is critical to ensure that any legislation promotes local lending to households and small businesses, which fuels economic growth and ensures the safety and soundness of our financial system.

In response to the bankers’ stance, Galaxy’s head of research Alex Thorne expressed doubts about the industry’s willingness to compromise on the bill. “It sounds encouraging, but it doesn’t sound like they’re really willing to make concessions.

However, Summer Mersinger, CEO of the Blockchain Association (a group of over 100 cryptocurrency companies, including Coinbase), characterized the White House meeting as a “step forward” in pushing for legislation. She commented:

Today’s meeting at the White House was an important step forward in getting the bipartisan Digital Asset Regulation Act signed into law by the president.

Another major cryptocurrency alliance, The Digital Chamber (TDC), echoed this positive sentiment.

However, despite mixed signals from both sides, Polymarket estimates that the likelihood of the bill passing this year has dropped from 65% to 60% after the White House talks.

It’s worth noting that two days before the meeting, the chances of the bill being approved increased from 50% to 65% .