White House report asserts stablecoin yield ban would have minimal impact on bank lending

On April 8, the Council of Economic Advisers (CEA) released a report analyzing whether prohibiting stablecoin yield protects bank lending. The GENIUS Act, signed into law in July 2025 (covered by InfoBytes here), requires stablecoin issuers to maintain one-to-one reserve backing and prohibits them from paying interest or yield to holders; however, the statutory language does not expressly bar intermediaries from offering yield-like rewards funded by revenue-sharing arrangements with issuers.... By: Orrick, Herrington & Sutcliffe LLP