Controversy surrounding the CLARITY bill intensifies: White House crypto officials refute claims that stablecoin rewards are causing bank deposit outflows.

PANews reported on March 8th that discussions surrounding the US CLARITY Act have sparked a public debate between the banking industry and White House crypto policy officials. Christopher Williston VI, president of the Texas Independent Bankers Association, publicly stated on the X platform that any compromises made by the banking industry on the act would harm local lending and economic productivity, and declared that he would not back down on the issue of liquidity supporting the local economy. In response, Patrick Witt, executive director of the White House Digital Assets Advisory Council, stated that no compromise on the CLARITY Act would mean no restrictions on stablecoin rewards offered by intermediaries. He argued that, according to the banking industry's narrative of "deposit outflows," this could have disastrous consequences, a logic he likened to "watching an arsonist threaten to burn down your own house."