The American Bankers Association (ABA) has unveiled its 2026 policy priorities, kicking off an aggressive lobbying campaign aimed at reshaping the rules around stablecoins and open banking in the United States.
At the center of the effort is a proposal to ban interest-bearing stablecoins, a move the banking lobby argues is necessary to protect the traditional deposit system and prevent large-scale capital outflows from banks.
Stablecoin Yields Framed as a Systemic Risk
The ABA is urging lawmakers to eliminate what it describes as a “stablecoin interest loophole” by prohibiting any form of yield, rewards, or interest on payment stablecoins. According to the group, allowing stablecoins to offer returns creates a direct substitute for bank deposits, without the same regulatory constraints.
Executives from major institutions, including JPMorgan Chase and Bank of America, have warned that yield-bearing stablecoins function like unregulated deposit accounts. The ABA claims this dynamic could trigger up to $6 trillion in “deposit flight” from the U.S. banking system, reducing banks’ ability to fund mortgages, small business loans, and local credit creation.
This lobbying push has already had legislative consequences. In January 2026, the Senate Banking Committee indefinitely postponed consideration of the Digital Asset Market Clarity Act after Coinbase withdrew its support, citing concerns over proposed restrictions on stablecoin yields.
The timing is notable. By December 2025, the total stablecoin supply had climbed to $273 billion, representing a 47% year-over-year increase and intensifying competition for dollar liquidity.
Open Banking Rules Back in Focus
Beyond stablecoins, the ABA is also targeting open banking rules, specifically Section 1033 of the Dodd-Frank Act, which governs how consumers share financial data with third-party apps.
Banks are calling for tighter standards on data access, clearer liability frameworks, and stricter security requirements. Publicly, the argument centers on consumer protection and fraud prevention. Privately, critics say the proposed revisions could give banks the ability to impose access fees or technical barriers that would make it harder for fintech firms and crypto wallets to connect to user accounts.
Fintech advocates warn that such changes risk slowing innovation by reinforcing bank control over customer data, undermining the original intent of open banking to foster competition.
A Broader Regulatory Strategy
Taken together, the ABA’s priorities point to a unified strategy: ensure that digital assets evolve inside the traditional banking perimeter, not alongside it. The group continues to emphasize the principle of “same activity, same risk,” arguing that crypto intermediaries offering payment-like services should face bank-style oversight.
For the crypto sector, the stakes are high. A ban on stablecoin yields would reshape product design across decentralized finance, while tighter open banking rules could limit how easily users move funds between banks, fintech apps, and blockchain-based services.
As Congress debates these proposals throughout 2026, the outcome will likely define whether digital dollars become a regulated extension of the banking system, or a parallel financial rail with its own rules.
