Next week's White House crypto meeting will focus on stablecoin yields, with bank representatives attending for the first time.

BlockBeats News, February 8 — Crypto journalist Eleanor Terrett revealed details about the upcoming White House crypto meeting next Tuesday. This meeting is the second round in a series, still at the staff level, and will not invite CEOs from various companies, but senior policy officials from banks will attend. Sources familiar with the matter disclosed that some large banks, including Bank of America, JPMorgan Chase, and Wells Fargo, have received invitations, and PNC Bank, Citibank, and U.S. Bancorp may also be on the list. Banking representatives include the Bank Policy Research Institute, the American Bankers Association, and the Independent Community Bankers of America, but the number of representatives from each party is expected to be reduced.

Currently, the situation is that banks want to restrict crypto companies from offering interest on stablecoins, believing this threatens their business. They are concerned that large inflows of funds into high-yield crypto accounts could lead to a shortage of bank loan funds and trigger broader financial instability. Crypto companies, on the other hand, believe that the banks’ actions aim to undermine market competition, maintain their regulatory barriers, and hinder innovation. On Thursday, Treasury Secretary Scott Bessent seemed to acknowledge that the banks’ concerns have some validity, stating, “I have always been an advocate for these small banks. Deposit volatility is very undesirable. We will continue to work to ensure that stablecoin yield payments do not cause deposit fluctuations.”

This meeting concerns the future of the Crypto Market Structure Act (CLARITY Act). Currently, the issue of stablecoin yields has become a focus of the White House, even surpassing other contentious points such as ethics or decentralized finance. White House Cryptocurrency Committee Executive Director Patrick Witt urged all parties to reach an agreement by the end of this month.