JUST IN: Updated Clarity Act draft would prohibit stablecoin yield on simple holdings

A revised draft of the Clarity Act has surfaced, proposing a ban on paying yield for merely holding stablecoins, CoinDesk reported. Under the proposal, rewards linked directly to account balances would be prohibited as lawmakers seek to avoid stablecoins resembling bank deposits. The effort reflects growing pressure from the banking industry, as the debate over stablecoins' practical utility escalates. Rewards tied to user activity may still be allowed, though the draft remains vague on how the rules would be implemented.