Banks in danger? Armstrong warns of the ban on stablecoin rewards!

Banks in danger? Armstrong warns of the ban on stablecoin rewards!

On October 2, 2025, the discussion about regulating cryptocurrencies in the USA will continue to increase. Brian Armstrong, CEO from Coinbase, is strongly committed to the so -called Market Structure Act. He is convinced that banks are trying to banish stablecoin rewards to protect their monopoly-like position. Armstrong commented in Washington, D.C. And called for clear regulations for the cryptom market, while the US Senate is currently advising on the Digital Asset Market Structure and Investor Protection Act.

The proposed legislation aims to clarify the rules for cryptocurrencies and determine which authority will be responsible for regulation. Armstrong warned that the banks endeavor to undermine the consumer rights with regard to cryptocurrency rewards and underlined the need to protect consumers' interests.

Reactions of the banks and the financial supervision

Armstrong accused banks of wanting to question the genius act that has already been defined. The law prohibits stable coins the payment of interest, but allows the offer of rewards that some banks see as a loophole. This concern could be related to a recently published report by the US Ministry of Finance. According to this report, consumers could transfer up to $ 6.6 trillion from traditional banks to stablecoins, which could have significant effects on the lending of the banks.

In this context, the discussion about the future role of stablecoins and their effects on banking is of central importance. The banks fear that the rewards in stable coins could lead to a deduction of capital from traditional banks, which would ultimately endanger the stability of their financing models.

Armstrong appealed to the Senate not to take any measures to protect the banks under the pretext of protecting consumers by restricting future possibilities to use stable coins. His approach aims to find a balance between consumer protection and bank interests, while a transparent and fair regulatory environment is created for digital assets.

The coming weeks will be decisive to observe how the US Senate reacts to these challenges and what the course is set for the future of the cryptom market.

For more information about Armstrong's lobbying and current developments in the field of cryptor regulation, please visit crypto.news.