Trump warns banks are blocking stablecoin rewards and the Readability Act, risking U.S. crypto management as debate grows over deposit security.
A contemporary battle is brewing between the White Home and Wall Avenue. President Donald Trump has gone public with sharp criticism of main U.S. banks.
He accused them of intentionally blocking key crypto laws. The goal is the Readability Act, the following proposed step in America’s crypto regulation journey.
Trump says banks are placing their income above the nation’s digital future.
— Fast Response 47 (@RapidResponse47) March 3, 2026
Banks vs. Stablecoin Rewards: What Is at Stake
The stress traces again to the GENIUS Act, which handed in July 2025. That regulation set strict guidelines for stablecoins and banned them from paying curiosity instantly.
However platforms like Coinbase discovered a workaround. They now supply customers 4 to five% rewards sourced from Treasury yields. Banks name it a loophole. Critics name it competitors.
JPMorgan CEO Jamie Dimon needs stablecoin rewards handled like financial institution deposits beneath full regulation. He argues the enjoying subject should be stage. However market analyst James Thorne pushed again onerous on that framing.
For the report.
Jamie Dimon says he needs a “stage enjoying subject” for stablecoins. What he actually needs is to ensure no one can give you a greater deal by yourself cash than tradtional banks can. The president is correct to name the banks out on this.
We’ve seen this earlier than.… https://t.co/G9Rc1vz5Bu
— James E. Thorne (@DrJStrategy) March 3, 2026
Writing on X, Thorne stated Dimon’s “stage enjoying subject” actually means forcing each competitor into the identical regulatory straitjacket as conventional banks. Thorne in contrast the second to the Seventies, when cash market funds broke deposit caps and gave savers actual yields.
Banks complained then too. Policymakers selected competitors, and banks needed to adapt.
Thorne famous that stablecoin issuers at the moment function beneath licensing, audits, strict AML requirements, and 1:1 high-quality reserve necessities. He argued Dimon is describing an outdated model of crypto to justify shutting down a rival funding mannequin.
Associated Studying: Trump Units March 1 Deadline for Landmark Crypto CLARITY Act
Trump and Eric Trump Converse Out on Social Media
Trump took to social media with a direct message to the banking trade.
He wrote that banks are “hitting report income” whereas attempting to undermine legal guidelines meant to assist Individuals earn extra on their cash. He warned that delays on the Readability Act may push your entire crypto trade towards China and different nations.
The president referred to as the GENIUS Act America’s first large step towards turning into the “Crypto Capital of the World” and stated the Readability Act is the following step to complete the job.
Eric Trump additionally weighed in. He posted that large banks have lengthy held a monopoly over retail finance, providing near-zero yields whereas charging excessive charges on low-balance accounts.
He stated banks at the moment are in “mass panic” as a result of they know they’re dropping the digital finance race.
The “Massive Banks”—the very establishments which have held a monopoly and screwed their prospects for years, providing near-zero yields on retail Cash Market Accounts whereas crushing low-balance accounts with exorbitant charges—at the moment are doing every little thing they’ll to dam the Crypto trade… pic.twitter.com/kWXIvt1alK
— Eric Trump (@EricTrump) March 3, 2026
What This Means for the Readability Act
The Readability Act is the true battleground. On paper, it’s about bringing crypto property into the mainstream U.S. market construction.
In apply, the controversy is about who controls how Individuals retailer and develop their cash. Banks need any yield-bearing product to observe the identical guidelines as a financial institution deposit. Crypto corporations say that the usual would kill innovation earlier than it matures.
Thorne argued that yield-bearing stablecoins threaten the banking mannequin at its core.
Banks earn a large unfold by paying depositors little or no, even when risk-free rates of interest are excessive. A regulated stablecoin that passes these yields to customers modifications that dynamic utterly.
He wrote that with a number of clicks, a saver’s money can go away what he referred to as the “deposit cartel.”
The struggle over the Readability Act is now not only a coverage debate. It has develop into a public standoff, with the president of the USA on one facet and a few of the world’s strongest monetary establishments on the opposite.