Galaxy Research Director: Stablecoin yields are a key sticking point in the US Cryptocurrency Structure Act negotiations. The next hearing may be scheduled for the last week of January.

PANews January 17 News, Galaxy Research Director Alex Thorn posted on X platform that U.S. Senate Banking Committee Chairman Tim Scott has announced the postponement of the hearing on the Crypto Market Structure Bill. It is understood that the issue of stablecoin yields is a key sticking point in the negotiations. Banking lobbying groups are actively pushing to limit stablecoin rewards, fearing that interest-bearing stablecoins could drain bank deposits and undermine the stability of the banking system. As a compromise to gain legislative support, a proposal was put forward, which the stablecoin industry ultimately considers unacceptable. Some believe this issue is critical to their survival. Other unresolved issues include restrictions on DeFi and illegal activities, as well as limitations on tokenized securities innovation.

Additionally, Alex Thorn revealed that although Tim Scott has not announced a new hearing date, since the Senate will be in recess next week, the earliest possible time for the Banking Committee to reconvene and revise the hearing is during the week of January 26 to 30. The Senate Agriculture Committee, which handles CFTC-related matters, had previously postponed its revision hearing to January 27.