The White House is convening its third high-stakes meeting to resolve the ongoing dispute over stablecoin yields.
Top legal minds from the cryptocurrency industry and representatives from the traditional banking sector are set to go head-to-head.
A select group of representatives will gather at the White House at 9:00 A.M. ET to negotiate a compromise that could unblock major U.S. crypto legislation.
Who is attending?
The crypto industry is represented by some of its most prominent legal and policy executives, including:
The list of participants includes Stuart Alderoty, chief legal officer at Ripple, Paul Grewal, chief legal officer at Coinbase, Miles Jennings, general Counsel and head of decentralization at a16z Crypto.
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The meeting will focus on whether or not cryptocurrency platforms and stablecoin issuers should be allowed to pass on the interest earned from underlying reserves directly to consumers.
Due to this dispute, the key legislation has so far been stalled in the Senate.
Traditional banks have lobbied heavily against yield-bearing stablecoins. arguing that they create an uneven playing field. If everyday consumers can earn high yields on digital dollars outside the traditional system, it could trigger a massive exodus of deposits. Hence, it could destabilize their lending capabilities.
At the same time, crypto executives insist that stablecoin yields are a core consumer benefit. Prohibiting these rewards will stifle domestic innovation, pushing the capital toward offshore alternatives.
As reported by U.Today, Ripple CEO Brad Garlinghouse previously predicted that the legislation could pass by the end of April.