US banking lobbyists released a poll to support their campaign against US stablecoins that return yield to their users, seeking to reinforce their current stance with results indicating that 57% of people think Congress should prevent crypto companies from offering anything resembling bank interest on stablecoins if it could harm community lending.
The American Bankers Association, which commissioned the survey, is among banking groups seeking last-minute changes to the Digital Asset Market Clarity Act that would establish a U.S. regulatory regime for the cryptocurrency industry. Banks are specifically pushing to rewrite sections related to stablecoins, which their representatives have repeatedly argued before lawmakers and the White House would threaten the interest-bearing deposit accounts at the heart of their businesses by taking away customers.
As the Clarity Act stands, crypto platforms would not be allowed to offer yield for static holdings of stablecoins, but they could establish rewards programs similar to credit card programs for active use of the tokens.
“As policymakers consider creating a regulatory framework for stablecoins and other digital assets, they should know that Americans do not want them to set rules that undermine lending and economic growth,” ABA President and CEO Rob Nichols said in a statement.
CoinDesk saw the results of the online survey conducted by Morning Consult, which surveyed 2,000 American adults, with a margin of error of around 2%. The survey questions were phrased with assumptions that stablecoins likely pose risks to banking and lending, a narrative opposed by crypto sector research and countered by White House economists.
A separate survey of US voters recently commissioned by CoinDesk revealed that they trusted banks more than cryptocurrencies when it came to financial inclusion (65% to 5%). About 52% said in that survey that they thought digital assets were more than a fad.
Despite its intention to support the crypto sector’s adversary in this legislative effort, the new ABA survey indicated relatively high interest from respondents in digital assets, which had been a niche market until recent years. About 30% of respondents said they are likely to buy or use digital assets over the next year, and 24% said stablecoins and cryptocurrencies could provide them with “significant benefits.”
The survey group included 17% who said they currently own digital assets, which was 10% less than CoinDesk’s survey of registered voters.
When pollsters asked if people thought the approach to crypto rules should be cautious and not threaten the traditional financial system (especially mentioning community banks), 61% agreed. A contrary 15% seemed to suggest that the security of the rest of the financial system was not a concern when regulating digital assets.
Senators working on the Clarity Act have already heard months of arguments from banks and recently moved forward in the Senate Banking Committee with a compromise crafted by members of both parties. However, that legislative language has yet to be merged with a similar bill that was approved by the Senate Agriculture Committee, and more changes will come after that merger if the bill advances to the Senate floor for a possible vote.
For its part, the cryptocurrency industry is pushing hard for final passage of the Clarity Act, countering other concerns that the legislation could leave opportunities for the abuse of cryptocurrencies as a tool of criminality and illicit financing. The Blockchain Association has shared a letter signed by 160 former members of the law enforcement, national security, and intelligence communities who favor establishing “a modern federal framework in the United States for the oversight of digital assets.”
The association intends to visit the Senate offices with some of those people on Wednesday, as the Senate session ends its final weeks before the summer recess and the height of the midterm election season.
Read more: ‘Banks won’t take it’: Dimon steps up battle over stablecoin rewards in CLARITY Act debate
