The banking industry is vehemently opposed to the Clarity Act wording which they believe allows the likes of crypto exchange Coinbase to offer stablecoin rewards. J.P. Morgan CEO Jamie Dimon told Fox Business that Coinbase CEO Brian Armstrong is the “only one” who wants the stablecoin rewards and is spending hundreds of millions of dollars in Washington. When interviewer Maria Bartiromo commented that Armstrong said he’s representing the whole industry, Dimon responded “He’s full of s!!t”.
The stablecoin rewards issue matters in part because of how much Coinbase has riding on it. We’ve previously highlighted Coinbase’s unique position as a founder of USDC via Centre, but no longer involved in the governance, which means it earns significant revenues on stablecoin balances. That’s because USDC issuer Circle pays Coinbase based on assets held on platform. Coinbase had a miserable first 2026 quarter, with revenues dropping more than $600 million year on year, resulting in a quarterly net loss of $394 million and layoffs. That loss was despite stablecoins contributing around $192 million1 in net revenues, so without the stablecoin income, the net loss would have been closer to $600 million.
When Bartiromo said banks were worried, Dimon rephrased it saying, “We’re not worried. We think it should just be fair. If he takes deposits like a bank, he should have bank rules.” He added that he does see stablecoins being used for cross border payments and small dollar P2P payments, but highlighted AML risks.
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