Coinbase is ramping up its lobbying efforts with U.S. lawmakers to preserve its business model of offering rewards to stablecoin holders, as the crypto asset market structure bill approaches Senate review. Sources indicate that if the bill imposes restrictions beyond disclosure requirements on reward mechanisms, Coinbase may reconsider its support for the legislation. The debate centers on whether only regulated financial institutions should be allowed to pay rewards on stablecoin balances. The banking sector argues this could divert traditional deposits, while the crypto industry warns it would stifle competition and impact platform revenues.
Coinbase Intensifies Lobbying to Protect Stablecoin Rewards Amid Legislative Debate
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