Rich by Coin

The OCC proposed rules under the GENIUS Act would restrict certain stablecoin rewards programs and curb the ability of third parties to pass yields onto stablecoin holders. Industry policy leaders told Decrypt they expect the language could affect Coinbase’s current USDC rewards arrangement with Circle, although the rule is not final and could be revised. Coinbase currently offers users roughly 4% yield on their USDC deposits, and Circle and Coinbase share the revenue generated from the yields backing USDC reserves. Some experts cautioned that the rule’s complexity could create room for workarounds.

Coinbase did not immediately respond to Decrypt’s request for comment on this story. Last year Coinbase reported $1.3 billion in stablecoin revenue, with its USDC rewards program cited as a key growth driver in 2025. Circle’s head of global policy commended the OCC on its proposed regulations, a sentiment echoed by Circle’s CEO, Jeremy Allaire. “This is all part of accelerating U.S. leadership in transforming the economic and financial system and rebuilding it natively on the internet,” Allaire said.

A banking industry source told Decrypt that the OCC’s announcement does not give them much comfort. The banking lobby has been pushing for months to restrict stablecoin rewards, arguing they could siphon customers away from traditional, low-yield bank accounts. “It really doesn’t solve the problem,” the banking industry source said, alluding to potential loopholes in the OCC’s proposed restrictions. The meetings, led by the White House, were intended to arrive at a deal by this weekend—but a deal is unlikely to materialize so soon, Decrypt reported earlier Friday.