On Tuesday, President Donald Trump accused major banks of trying to sabotage the administration’s crypto agenda, intensifying an ongoing clash between Wall Street and digital-asset companies that has stalled a crucial market-structure bill in Congress.
Trump Accuses Banking Industry Of Undermining Crypto Push
President Donald Trump claimed on Tuesday via Truth Social that the GENIUS Act— the first stablecoin legislation he signed into law last year— is “being threatened and undermined by the banks.”
Trump called on U.S. lawmakers to swiftly approve the CLARITY Act, a separate bill designed to establish clear regulatory rules for the wider crypto industry without outside interference.
“The U.S. needs to get Market Structure done, ASAP,” he wrote, adding that delays could drive the industry abroad. “The Banks are hitting record profits, and we are not going to allow them to undermine our powerful Crypto Agenda that will end up going to China, and other Countries if we don’t get the Clarity Act taken care of.”
His remarks come amid rising tensions between traditional financial institutions and crypto firms over whether stablecoin platforms should be permitted to offer yield to users — a sticking point that has emerged as the main hurdle to advancing the CLARITY Act in Congress.
“The Banks should not be trying to undercut The Genius Act, or hold The Clarity Act hostage. They need to make a good deal with the Crypto Industry because that’s what’s in best interest of the American People,” the President opined.
At the heart of the dispute is JPMorgan Chase CEO Jamie Dimon, who on Monday contended that crypto firms offering rewards on stablecoin balances should be regulated under traditional banking rules.
“If you want to be a bank, become a bank,” Dimon told CNBC, cautioning that letting crypto companies offer yield without adhering to the same regulatory standards as banks could pose risks to the financial system.
The CLARITY Act passed the House last year with bipartisan backing. It has since moved to the Senate, where the Banking and Agriculture committees have each advanced their own versions of the legislation.
Crypto executives and lobbyists have pushed back against the banks’ attempts to impose a ban on stablecoin yield payments in the bill. Coinbase, the largest U.S. crypto exchange, publicly withdrew its support for the legislation in January over the dispute.
Bridging The Crypto-Bank Divide: The Road Ahead
The White House has organized meetings between representatives from the banking and crypto industries to hash out the bill’s language. Sources familiar with the discussions say the draft text is now circulating among lawmakers.
Although Trump had aimed for a tentative deadline at the end of February to reach an agreement, no deal has materialized. The Senate still has time to finalize the bill, but the legislative calendar is tightening. With lawmakers heading into summer recess and the 2026 election cycle ramping up, the window to focus on the legislation is rapidly shrinking.
The bill would define which crypto assets fall under the jurisdiction of the Securities and Exchange Commission and which are regulated by the Commodity Futures Trading Commission, a long-running question that has complicated enforcement and compliance across the industry.
Source: https://zycrypto.com/president-trump-pushes-lawmakers-to-pass-long-awaited-clarity-act-blasts-banks-for-undermining-genius/
