Bitwise Slams JPMorgan as Stablecoin Yield Fight Heats Up in Washington
The post Bitwise Slams JPMorgan as Stablecoin Yield Fight Heats Up in Washington appeared on BitcoinEthereumNews.com. Bitwise CIO Matt Hougan took aim at JPMorgan, challenging America’s biggest banks’ moves to push lawmakers to curb stablecoin yields. It comes as crypto’s clash with Wall Street escalates, culminating in one of Washington’s most explosive lobbying battles in years. Bitwise Rebukes JPMorgan Amid Wall Street–Crypto Showdown The Bitwise CIO slammed JPMorgan, following comments from Bank Policy Institute members and other banking lobbies. “I think JPMorgan Chase is confused. Can someone tell them that the 0% interest rule is only for stablecoins, not bank accounts?” wrote Huogan. Matt Hougan highlighted JPMorgan Chase’s negligible interest rates on checking accounts, 0% to 0.01% APY. JPMorgan Chase’s Interest Rates on Checking Accounts. Source: Matt Hougan on X This contrasts with the GENIUS Act, passed only recently, which allows interest-bearing stablecoins, suggesting banks may be lagging in competitive financial innovation. TradFi media says JPMorgan’s highest Certificate of Deposit (CD) rates require a $100,000 deposit and a checking account relationship. This points to a strategic barrier to entry for average customers, potentially driving interest toward stablecoins offering yields up to 5%. Against this backdrop, banks argue that a loophole lets exchanges such as Coinbase and Binance reward stablecoin holders. Lobbies press Congress to amend the GENIUS Act, which set the first federal rules for stablecoins. In hindsight, the Act banned issuers like Circle (USDC) and Tether (USDT) from paying interest directly. Therefore, and in the same tone as Hougan, Ryan Sean Adams, host of the Bankless podcast, accused banks of rent-seeking. “The banks are trying to stop American citizens from getting yield on their savings. They want to keep it for themselves…Stablecoin yield belongs to the people, not the banks,” he observed. Stablecoins’ Growing Systemic Weight Amid Washington’s Lobbying “Civil War” Traditional finance (TradFi) players like the American Bankers Association, Bank Policy Institute, and Consumer…
The post Bitwise Slams JPMorgan as Stablecoin Yield Fight Heats Up in Washington appeared on BitcoinEthereumNews.com.
Bitwise CIO Matt Hougan took aim at JPMorgan, challenging America’s biggest banks’ moves to push lawmakers to curb stablecoin yields. It comes as crypto’s clash with Wall Street escalates, culminating in one of Washington’s most explosive lobbying battles in years. Bitwise Rebukes JPMorgan Amid Wall Street–Crypto Showdown The Bitwise CIO slammed JPMorgan, following comments from Bank Policy Institute members and other banking lobbies. “I think JPMorgan Chase is confused. Can someone tell them that the 0% interest rule is only for stablecoins, not bank accounts?” wrote Huogan. Matt Hougan highlighted JPMorgan Chase’s negligible interest rates on checking accounts, 0% to 0.01% APY. JPMorgan Chase’s Interest Rates on Checking Accounts. Source: Matt Hougan on X This contrasts with the GENIUS Act, passed only recently, which allows interest-bearing stablecoins, suggesting banks may be lagging in competitive financial innovation. TradFi media says JPMorgan’s highest Certificate of Deposit (CD) rates require a $100,000 deposit and a checking account relationship. This points to a strategic barrier to entry for average customers, potentially driving interest toward stablecoins offering yields up to 5%. Against this backdrop, banks argue that a loophole lets exchanges such as Coinbase and Binance reward stablecoin holders. Lobbies press Congress to amend the GENIUS Act, which set the first federal rules for stablecoins. In hindsight, the Act banned issuers like Circle (USDC) and Tether (USDT) from paying interest directly. Therefore, and in the same tone as Hougan, Ryan Sean Adams, host of the Bankless podcast, accused banks of rent-seeking. “The banks are trying to stop American citizens from getting yield on their savings. They want to keep it for themselves…Stablecoin yield belongs to the people, not the banks,” he observed. Stablecoins’ Growing Systemic Weight Amid Washington’s Lobbying “Civil War” Traditional finance (TradFi) players like the American Bankers Association, Bank Policy Institute, and Consumer…
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