Coinbase Opposes New Clarity Act Draft Citing Stablecoin Yield Ban

Coinbase has again informed the U.S. Senate this week that it cannot endorse the latest draft of the Clarity Act, primarily due to proposed language restricting stablecoin yield payments. The bipartisan compromise, circulated by Senators Thom Tillis and Angela Alsobrooks, would prohibit cryptocurrency exchanges from offering yield on stablecoin balances and tighten access to transaction-volume data, according to The Block. Coinbase expressed "serious concerns," marking its second withdrawal of support; the first occurred in January when a similar yield ban was included in the Senate Banking Committee's draft. This policy outcome holds significant financial implications for Coinbase, which projected $1.35 billion in stablecoin-related revenue in 2025. Mizuho analysts have linked recent sharp declines in Circle shares to legislative gridlock surrounding the Clarity Act.