Paul Grewal (폴 그레월), Coinbase's chief legal officer (CLO), expressed confidence that the CLARITY bill will pass this summer and voiced support for a compromise over stablecoin reward rules. He urged banks to accept the compromise as well.

On May 6, The Block Crypto reported that Grewal, in a Consensus 2026 interview, described the Tillis-Alsobrooks compromise as a practical middle ground that preserves key conditions needed for Coinbase's stablecoin business and the broader financial market.

The dispute centers on how stablecoin rewards are structured. The compromise would allow activity-based rewards tied to platform use while limiting yield paid based simply on idle balances. Banks have opposed balance-based rewards, saying they could lead to deposit outflows. Grewal pushed back, saying banks have not provided substantive evidence to support that concern. He said banks failed to produce anything to prove the claim in multiple meetings and conversations, adding, "There is no evidence of that at all."

Coinbase had previously been negative on an initial bill made public in January. Chief Executive Brian Armstrong and the company criticised what they said was bank lobbying driving the legislation at the time, but later changed position through negotiations and discussions with regulators. In early April, Armstrong publicly backed the revised bill, and Grewal said the company's standards had been clear from the start. He said Coinbase's red line was protecting the stablecoin rewards function, and the compromise maintains that line.

Grewal said rejecting the compromise could also be bad for banks. He added, "Don't snatch defeat from the jaws of victory," and said, "If the answer is 'yes,' accept it and move on." Grewal said that under the GENIUS bill, a federal stablecoin framework, even non-issuers can provide rewards for any purpose. He argued the current compromise is a better choice for the industry overall.

He also expressed confidence about the timing of the CLARITY bill. "I'm confident that, at the latest, we will see the CLARITY bill pass by the end of this summer," he said. The comment aligns with a broader flow in which Senate-delayed consideration of the bill has recently found a breakthrough through the compromise.

Grewal also mentioned regulation of prediction markets. He said Congress granted the Commodity Futures Trading Commission (CFTC) exclusive jurisdiction over event contracts, but some state governments interpret traditional gambling regulatory authority as taking precedence, escalating a jurisdictional dispute between the federal government and states. He said the issue could ultimately go to the U.S. Supreme Court.

On prediction market credibility, he cited the 2024 U.S. presidential election. Some opinion polls at the time expected Kamala Harris to win, but prediction markets reflected a higher likelihood of a Trump victory, he said. Grewal said of this, "The outcome showed everything."

He also said event contracts regulated by the CFTC could remove the house edge embedded in traditional sportsbooks. He argued they could have a structural advantage over existing gambling services as the user base grows.

On cryptocurrency regulation overall, he emphasised competitiveness rather than political sparring. Grewal said crypto should have an opportunity to compete fairly in global markets. He also said that in a policy environment where the United States is conscious of competition with China, it will ultimately reach the right regulatory solution.

He said Paul Atkins (폴 앳킨스), chair of the U.S. Securities and Exchange Commission (SEC), and Mike Celic (마이크 셀릭), chair of the CFTC, understand well the potential uses of cryptocurrency. He added that the two agency heads want to use crypto to modernise the lagging U.S. financial system.

The remarks draw attention for highlighting both the stablecoin rewards structure and the jurisdiction issue over prediction markets. Coinbase made clear that reward design and the allocation of regulatory authority are core conditions for the crypto business.