Private White House talks deepen clash between lenders and digital asset firms over stablecoin rewards
By Akshay Puri
President Donald Trump ignited a firestorm in the financial sector on 3 March 2026, following a private White House meeting with Coinbase CEO Brian Armstrong.
Hours after the closed-door session, Trump issued a blistering ultimatum on Truth Social, accusing major banks of ‘undermining’ his crypto agenda and ‘holding hostage’ the CLARITY Act—a landmark market structure bill.
The President’s intervention signals a decisive shift in Washington’s power dynamic, placing the White House firmly behind the digital asset industry in its battle with Wall Street over the future of stablecoin yields.
The meeting comes as the Senate remains deadlocked over whether crypto platforms should be allowed to pay ‘rewards’ on stablecoins, a practice banks claim threatens trillions in traditional deposits. A spokesperson for Coinbase declined to comment. The White House did not immediately respond to a request for comment.
A Bill Stuck in Political Crossfire
At the centre of the dispute is sweeping legislation on the structure of the crypto market pending in the Senate. The bill would establish new rules governing how market regulators oversee digital tokens. For years, digital asset firms have pushed for what they describe as regulatory clarity, arguing that clearer rules would allow the United States to remain competitive in a fast-growing global industry.