ICYMI: CfG & Conservative Groups Send Coalition Letter on Protecting Competition in Digital Asset Market Structure Legislation
Washington, D.C. – In case you missed it, Club for Growth and seven other conservative organizations sent a coalition letter to members of the Senate Banking and Agriculture Committees, urging lawmakers to preserve consumer rewards and competition in any digital asset market structure legislation. In addition to Club for Growth President David McIntosh, cosigners of the letter included: Competitive Enterprise Institute’s John Berlau, Less Government’s Seton Motley, Center for Freedom and Prosperity’s Dan Mitchell, Center for a Free Economy’s Ryan Ellis, 60 Plus Association’s James Martin, American Association of Senior Citizens’ Saul Anuzis, and Trade Alliance to Promote Prosperity’s Kent Kaiser.
The organizations call on Senators to advance a stablecoin and digital asset framework that:
- Promotes competition and innovation. Allow new payment technologies, including stablecoins, to compete on their merits rather than face preemptive bans or restrictions.
- Protects consumer choice. Preserve Americans’ ability to earn and use rewards, rebates, and loyalty incentives — the tangible value that competition creates.
- Prevents regulatory capture. Ensure that the market structure framework cannot be used to shield incumbents from competition or to erect new barriers to entry.
- Respects free enterprise. Avoid expanding federal control over private transactions or imposing restrictions that amount to price controls by another name.
Jasper Goodman covered the letter in an exclusive report.
Click here to read the coalition letter from Club for Growth.
Click here for the full coverage in Politico.
EXCERPTS:
First in MM: Conservative group sides with crypto in fight with banks — An influential anti-tax group is wading into a lobbying clash between top crypto firms and banking groups over whether digital asset exchanges should be allowed to pay yield to stablecoin holders via “rewards.”
The Club for Growth, a deep-pocketed group that has become increasingly active on crypto issues, wrote in a letter to lawmakers that they should “reject any language that would limit rewards, rebates, or other competitive features of stablecoin-based payment systems.”
Banks are pushing to change a previously passed stablecoin law to eliminate what they call a “loophole” that allows exchanges to pay yield to stablecoin holders, despite a prohibition on issuers offering interest-bearing dollar-pegged tokens.
The letter, which said the banks’ push would “destroy the economics” of stablecoin adoption, was signed by a coalition of other conservative groups.