The encryption advocacy organization is pressuring the Senate, calling for the retention of DeFi protections and stablecoin yield mechanisms

By: rootdata|2026/03/17 18:42:00

Members of the crypto advocacy organization Stand With Crypto have written to the U.S. Senate Banking Committee, urging the protection of defi-119">decentralized finance development in the advancement of crypto legislation and the retention of provisions that allow trading platforms to offer stablecoin yields.

The letter points out that a clear and fair regulatory framework should be established while avoiding the undermining of innovative financial technologies. The current legislative controversy mainly focuses on stablecoin yields and DeFi regulation, with the banking industry concerned that yield mechanisms will divert traditional deposits, while the crypto industry argues that restricting yields will stifle innovation. Additionally, the letter emphasizes the need to retain provisions related to blockchain regulatory certainty legislation, clarifying that developers who do not control user funds are not considered money transmitters. Relevant legislation is still being advanced in the Senate Banking Committee.

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