A U.S. banking industry lobbying group has backed passage of the Clarity Act, a cryptocurrency regulation bill, but said some stablecoin-related provisions need to be revised.

Bitcoin Magazine reported on July 29 that Rob Nichols (롭 니컬스), chief executive of the American Bankers Association, said the bill has "a lot of good in it" but needs fixes on issues surrounding stablecoins and community lending.

In the U.S. Congress, efforts are continuing to move the Clarity Act before the August recess. The bill aims to codify a regulatory framework for cryptocurrencies in the United States. Banks are reacting sensitively to related provisions because they believe the deposit base could be shaken if stablecoins provide returns to users.

Nichols said the bill is about 600 pages long, but what the banking industry is asking for is a small, surgical change to 2 paragraphs. He said it is not about a full review of the bill but about adjusting specific issues. He also stressed the possibility of coexistence between the crypto industry and the banking industry, saying the United States can be both the "crypto capital of the world" and the "banking capital of the world".

The Clarity Act passed the House of Representatives last year but later fell into a stalemate after banks raised the issue of providing returns related to stablecoins. In January this year, Coinbase withdrew its support for the bill after clashing with the banking industry. At the time, banks argued that stablecoin yield payments should be banned.

Banks are concerned about customer departures. They believe bank deposits could flow out if crypto exchanges attach more attractive products to deposits. Coinbase chief policy officer Faryar Shirzad (파르야르 시르자드) this week played down banks' concerns. He argued that big banks are already adopting crypto technology.

Major U.S. banks are showing interest in stablecoin businesses or have begun launching products. JPMorgan and Bank of America are among them. The banking industry is publicly calling for regulatory changes while also reviewing blockchain-based products.

A revised version of the bill is also moving to sort out issues. A new draft circulated last week includes a ban on public officials and their family members issuing or promoting cryptocurrencies. Opposition lawmakers have raised the issue for some time.

In politics, Republican lawmakers are pressuring Democrats to pass the bill. While there is a base of bipartisan support, some lawmakers, including Senator Elizabeth Warren, criticised the draft as allowing President Donald Trump to generate crypto profits and potentially benefiting criminals as well.

By contrast, major financial institutions such as Fidelity and Goldman Sachs, crypto lobbying groups and some political figures have said the current revision could work even in its present form. As a result, the focus of the Senate debate is narrowing from whether the bill should survive to how far to adjust stablecoin yields and competition with bank deposits.