
As debate over the CLARITY Act grows, Eric Trump accuses major banks of blocking crypto yields. He claims banks like JPMorgan, Bank of America, and others are try to blocking high crypto yields, claiming they want to protect bank profits
His comment came after Donald Trump said banks oppose the CLARITY Act because they fear it could reduce their profits.
In a recent post on X, Eric Trump claimed that some of the largest U.S. banks, including JPMorgan Chase, Bank of America, and Wells Fargo, are trying to convince lawmakers to limit crypto platforms from offering high savings yields.
He believes they are using “financial stability” as a reason to protect their dominance over the market.
However, banks disagree with this. Industry groups warn that high stablecoin yields could act like unregulated deposits and pull money away from the banking system, which may weaken lending activity.
Banking groups also say up to $6.6 trillion in deposits could be at risk if interest-paying stablecoins become widely used.
Eric Trump added that banks fear losing 30% to 35% of their deposits if people move their savings to crypto platforms offering higher returns.
At the center of the debate is the large gap between what banks pay customers and what crypto platforms claim they can offer.
Most large banks currently offer savings rates between 0.01% and 0.05%, while several crypto companies say stablecoin programs could deliver yields of 4% to 5% or more.
Eric Trump said banks benefit from this big gap. People earn almost nothing on their savings, while banks can earn around 4% or more from the Federal Reserve. According to him, this creates huge profits for banks but very little return for customers.
Several figures in the digital asset industry have backed clearer crypto rules. Among them are Brad Garlinghouse and Cynthia Lummis, both of whom have expressed support for policies that allow crypto businesses to operate with defined legal frameworks.
Meanwhile, Jerome Powell recently said banks are “well equipped to serve crypto-related clients,” signaling that traditional finance may still play a role in the evolving digital asset economy.
For now, the CLARITY Act remains stalled in the Senate Banking Committee. Perhaps crypto leaders believe that it will pass by mid-2026.
Crypto yields are earnings you can make by lending, staking, or depositing digital assets like stablecoins, often higher than traditional bank interest.
Crypto stablecoin programs can offer 4–5% yields, while most major U.S. banks pay just 0.01–0.05% on savings accounts.
Banks warn high stablecoin yields act like unregulated deposits, potentially pulling $6.6 trillion from banks and weakening lending activity.
CoinPedia has been delivering accurate and timely cryptocurrency and blockchain updates since 2017. All content is created by our expert panel of analysts and journalists, following strict Editorial Guidelines based on E-E-A-T (Experience, Expertise, Authoritativeness, Trustworthiness). Every article is fact-checked against reputable sources to ensure accuracy, transparency, and reliability. Our review policy guarantees unbiased evaluations when recommending exchanges, platforms, or tools. We strive to provide timely updates about everything crypto & blockchain, right from startups to industry majors.
All opinions and insights shared represent the author's own views on current market conditions. Please do your own research before making investment decisions. Neither the writer nor the publication assumes responsibility for your financial choices.
Sponsored content and affiliate links may appear on our site. Advertisements are marked clearly, and our editorial content remains entirely independent from our ad partners.
XRP is holding near $1.13 on the weekly chart, a level that has been acting…
Pi42 Co-founder and CEO Avinash Shekhar shared an exclusive assessment with Coinpedia on the state…
Bitcoin is holding above its 200-week moving average for another week, a level that has…
Agentic AI is hungry, and apparently, traditional infrastructure is starting to feel the strain. That…
TAO price exploded more than 21% during Friday's trading session after a sudden development in…
Internet Computer has spent the better part of the past two years trading inside a…