The release of the U.S. crypto market structure bill has been pushed back as industry stakeholders review a revised compromise on stablecoin yield restrictions, extending a legislative process that has kept digital asset companies and traditional banks at odds over how stablecoins can generate returns.
The revised proposal was shown to crypto industry stakeholders on Monday and banking stakeholders on Tuesday, according to CoinDesk reporting. Rather than releasing updated text immediately, lawmakers expected the new language to circulate later that week or early the following week.
Reaction from the crypto industry was split. Coinbase was reportedly dissatisfied with the latest terms, while other stakeholders were described as pleasantly surprised by the direction of the revisions. No direct public statements from banking groups confirming their position were available at the time of reporting.
Why the Crypto Market Structure Bill Release Was Pushed Back
The delay follows weeks of attempted negotiation. On March 17, Sen. Tim Scott indicated that a stablecoin yield compromise central to the stalled bill could emerge by the end of that week. That timeline slipped as the scope of disagreement became clearer.
The stablecoin yield question has become the bill’s central sticking point. According to a single source, the compromise discussions coincided with moves in Circle and Coinbase shares, though other factors including Tether audit developments may have contributed to those price changes.
The broader crypto market reflected a risk-off mood during this period. Bitcoin traded at roughly $66,909, down approximately 1.85% over 24 hours, while total crypto market capitalization sat at about $2.39 trillion. The Fear and Greed Index registered at 12, firmly in “Extreme Fear” territory.
What the Revised Stablecoin Yield Compromise Changes
The core dispute centers on Section 404 of the Senate Banking Committee’s market structure draft. That provision states a digital asset service provider may not pay any form of interest or yield solely for holding a payment stablecoin.
The same section preserves carve-outs for activity-based rewards. These include compensation tied to transactions, wallet or platform use, loyalty or promotional programs, liquidity or collateral provision, and governance or staking participation.
In plain terms, the distinction matters because it determines whether companies like Circle can offer passive returns to stablecoin holders or must instead structure rewards around specific user actions. For crypto firms, the breadth of those carve-outs defines how competitive stablecoin products can be against traditional bank deposits.
The draft also requires the SEC and CFTC to jointly issue plain-English disclosure rules for stablecoin-related compensation within 360 days after enactment. That implementation timeline will shape how companies design compliant yield products, a process complicated by ongoing debates around shifting U.S. trade and regulatory policy across multiple sectors.
This regulatory push sits alongside the GENIUS Act framework for payment stablecoins. The January draft already outlined the intended shape of the compromise, but the March revisions suggest lawmakers were still refining how far those activity-based carve-outs should extend before making the text public.
What Industry Reaction Could Mean for the Bill’s Next Steps
The mixed reception suggests the revised compromise has not yet found a stable coalition of support. Coinbase’s reported dissatisfaction is significant given its role as the largest U.S.-listed crypto exchange, while the “pleasantly surprised” reactions from other stakeholders indicate the latest text moved closer to some industry positions.
The exact redlines reviewed by stakeholders on Monday and Tuesday had not been publicly circulated, meaning the full scope of the revised compromise remained opaque outside the consultation rooms. The lack of transparency has made it difficult for market participants to assess the bill’s likely trajectory.
“Any delays will weigh heavily on a digital asset market that has struggled with momentum for months.”
Nic Puckrin, via Decrypt
That assessment aligns with the current sentiment data. With Bitcoin dominance at 56.09% and the broader market under pressure, regulatory uncertainty adds another headwind. Recent high-profile incidents, including the $286 million Drift Protocol exploit linked to suspected North Korean hackers, have reinforced industry calls for clearer regulatory frameworks to protect users.
Near-term expectations now hinge on whether the updated bill text, once publicly released, draws enough bipartisan and industry support to advance through the Senate Banking Committee. If the carve-outs satisfy enough crypto stakeholders without alienating banking interests, the bill could move to markup.
If Coinbase and similarly positioned firms push back publicly, further revisions and additional delays are likely. The crypto market, already navigating weak momentum and episodes like viral memecoin volatility on Solana, may struggle to absorb extended policy uncertainty on top of existing headwinds.
Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency and digital asset markets carry significant risk. Always do your own research before making decisions.