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Crypto advocates and banking groups are stepping up pressure on U.S. senators in their home states ahead of a Sept. 15 procedural vote on the CLARITY Act. The two sides are pushing competing arguments over digital-asset regulation and whether stablecoin rewards could draw deposits away from traditional banks.
Crypto Advocates Mobilize During Senate Recess
Stand With Crypto, a Coinbase-backed advocacy group, used the August Senate recess to organize local events and constituent outreach around the market-structure bill. The group says it has chapters across all 50 states.
Stand With Crypto also said supporters had contacted members of Congress more than 1 million times in support of the legislation. Executive Director Mason Lynaugh said:
“Stand With Crypto’s three million advocates will be mobilizing in their communities during August recess.”
Banking Groups Push Back on Stablecoin Rewards
Banks are lobbying lawmakers over Section 404, which addresses interest, yield, and rewards tied to payment stablecoins. The American Bankers Association, Independent Community Bankers of America and 76 state banking associations wrote to Senate leaders in July seeking tighter restrictions.
They argue that stablecoin rewards could compete with bank deposits and reduce funding available for lending. Crypto companies and advocates have opposed tighter restrictions, arguing they could limit competition and product design.
Lawmakers Face Pressure in Their Home States
The lobbying has increasingly moved outside Washington. Stand With Crypto has encouraged supporters to call and email senators, while community banking groups have urged local bankers to raise concerns about stablecoin provisions.
In Georgia, Stand With Crypto has urged supporters to contact Democratic Sen. Raphael Warnock, who voted against advancing the Senate Banking Committee’s market-structure legislation in May.
Sept. 15 Vote Is Procedural
The Senate Banking Committee advanced its market-structure legislation by a 15-9 vote on May 14. The measure seeks to establish federal rules for digital assets and clarify regulatory responsibilities between agencies including the SEC and CFTC.
Senate Majority Leader John Thune filed cloture on the motion to proceed before the August recess. The Senate schedule says the motion will ripen at 2:15 p.m. on Sept. 15.
If cloture is invoked, the Senate could move toward a vote on whether to formally begin consideration of the legislation. Further debate, amendments and final passage would still remain.
