U.S. lawmakers are set to return to Washington next week, with the Senate Banking Committee planning a vote on a stalled crypto market structure bill by the end of the month. The main sticking point remains how to regulate stablecoin rewards.

Negotiations are intensifying among the White House, regulators, banks, and crypto firms. While current law (GENIUS Act) bans stablecoin issuers from paying interest directly, it allows third-party platforms to offer rewards—raising concerns from banks about deposit outflows, while crypto firms argue restrictions could hinder innovation.

A recent White House economic report found stablecoin rewards unlikely to significantly impact bank lending, but banking representatives dispute this conclusion and continue pushing for stricter rules.

Officials, including Treasury Secretary Scott Bessent, are urging swift passage of the broader crypto bill, which would define regulatory oversight between agencies, set exchange rules, and improve disclosures.

If agreement on stablecoin rewards is reached, attention will shift to other issues like legal protections for software developers—where disagreements are emerging. The bill still faces multiple legislative hurdles, including reconciliation between Senate committees, securing 60 votes, and alignment with the House version.

Senator Cynthia Lummis warned this may be the last opportunity to pass such legislation before 2030, calling it critical for the future of U.S. finance.