The Clarity Act may make rewards illegal for stablecoins, making it difficult to compete with interest-bearing bank accounts.
Ironically, the bill would also make Coinbase and Circle more profitable.
Shares of both Coinbase (NASDAQ: COIN) and Circle (NYSE: CRCL) plunged double digits on news that Congress is getting close to passing a bill that would make stablecoin rewards illegal. These rewards are seen as a key reason to hold stablecoins, but the impact on these companies may not be what you think. If the bill passes, both Coinbase and Circle could be more profitable, which makes this a great buying opportunity for investors.
*Stock prices used were end-of-day prices of March 24, 2026. The video was published on March 24, 2026.
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Travis Hoium has positions in Coinbase Global. The Motley Fool recommends Coinbase Global. The Motley Fool has a disclosure policy. Travis Hoium is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.