U.S. Credit Union Organization Supports CLARITY Act but Calls for Tighter Stablecoin Yield Provisions

On July 29, according to a tweet by Eleanor Terrett, America's Credit Unions, together with credit union leagues across all 50 U.S. states, expressed support for most of the CLARITY Act but raised concerns about the stablecoin yield-related provisions in the bill. The organization stated that the current Tillis-Alsobrooks compromise could still allow 'functionally passive' reward mechanisms, leading to deposits flowing from local credit unions to stablecoin-related products, and thus urged the Senate to further strengthen relevant regulations. Previously, former NCUA Chairman Rodney Hood said that credit unions will play an important role in the modernization of the financial system.