U.S. Cryptocurrency Comprehensive Legislation Faces Industry Opposition: Stablecoin Yields and Privacy Rights Become Focal Points

【Blockchain Rhythm】 Recently, comprehensive legislation regarding cryptocurrencies in the U.S. Senate has sparked intense debate within the industry. The CEO of a leading trading platform publicly stated on social media that this draft is actually worse than the current regulatory environment. He bluntly said: It’s better to have no bill than a bad one.

The core of this bill is to clarify the boundaries of authority between the U.S. CFTC and SEC in digital asset regulation, define when digital assets are considered securities or commodities, and introduce new disclosure requirements. The Senate Banking Committee plans to hold a hearing and vote on this matter on Thursday morning.

So, what exactly has caused such significant controversy? The main issues include three aspects. First is the DeFi and stablecoin yield mechanisms; the CEO of a certain trading platform pointed out that the proposed revisions could directly stifle stablecoin reward mechanisms. Second is privacy concerns; he warned that some provisions might grant the government unlimited access to individuals’ financial records, which would obviously erode user privacy. Third is the division of regulatory authority; this bill weakens the CFTC’s powers, making it subordinate to the SEC in regulation, which is not good news for industry innovation.

Interestingly, this bill has created conflicts among different stakeholders. Banking groups worry that stablecoin yield mechanisms could drain deposits and impact community banks, while the crypto industry believes that banks are trying to limit competition. The public opposition from a certain trading platform is considered symbolic within the industry and could influence the bill’s final fate.

However, not everyone is opposed. The CEO of the Digital Chamber of Commerce said they will continue to push for the bill to become law in 2026, and the CEO of a certain payments company also expressed optimism about resolving disagreements through amendments. It seems that the tug-of-war between regulation and innovation will continue.