Negotiations between banks and crypto leaders moved forward this week, but the core dispute over stablecoin rewards remains unresolved. 

The White House hosted a third closed door meeting on Thursday, bringing together industry groups, major bank trade associations, and policy officials in an effort to break the impasse holding up broader crypto legislation.

Ji Kim, CEO of the Crypto Council for Innovation, described the session as “constructive,” saying the discussion built on prior meetings and aimed to create a framework that protects consumers while strengthening U.S. competitiveness. Coinbase chief legal officer Paul Grewal echoed that tone, calling the dialogue cooperative and noting that more progress was made.

This story is an excerpt from the Unchained Daily newsletter.

At issue is whether platforms can offer yield on stablecoins. Banks argue rewards threaten traditional deposits, while crypto firms say banning them would curb innovation. The GENIUS Act already bars issuers from paying direct interest, but third party rewards remain contested.

Until this question is settled, advancement of the broader market structure bill remains uncertain, with Senate action still pending.