Still No Stablecoin Yield Deal

gm, Defiers!

TL;DR:

Latest CLARITY draft still bans stablecoin yield: report
CFTC launches Innovation Task Force
Bittensor subnets soar as TAO outperforms
EF debuts post-quantum security hub
Enterprises Are Finally Moving Their Businesses Onchain: RJ Catalan of Aligned [MEDIA PARTNER]

Let’s dive in.

Crypto markets got some mild relief today, pushing total market cap back above $2.5 trillion, a 2% gain on the day. BTC and ETH are both up about 2%, with BTC approaching $71K and ETH near $2,165.

Among large-caps, decentralized AI protocol Bittensor’s TAO continues to outperform, gaining another 12% today, pushing its monthly gains over 100% — the rally gained momentum after a high-profile shoutout last week. As TAO rallies, the Bittensor subnet ecosystem has followed suit, and the entire sector is up 26% over the past 24 hours.

Meanwhile, yesterday the Ethereum Foundation launched a dedicated resource on Ethereum’s post-quantum security. The website is a joint effort by multiple EF teams and brings together eight years of research into a single public resource.

On the regulatory front, the CFTC announced the formation of an Innovation Task Force, which will concentrate on crypto, AI, and prediction markets. The aim of the task force is to develop clearer regulatory frameworks for these emerging sectors — namely to make sure they continue to develop in the U.S.

Finally, U.S. crypto firms got a glimpse of the latest draft of the now much delayed CLARITY Act, after months of negotiations between industry participants, banks, the Senate Banking Committee, and the White House, per multiple media reports.

The latest text of the crypto market structure bill reportedly still bans yield on stablecoins, both “directly or indirectly,” per Crypto in America — making it even more stringent than the stablecoin-focused GENIUS Act. Stablecoin yield has emerged as a primary sticking point for both “sides” (crypto vs. the banks) — namely because banks don’t want competition on accounts that pay interest.

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We’re back! Here’s what you need to know in web3 today

📈 Markets in the Past 24 Hours

TICKER	VALUE	24H
Bitcoin	$70,878	2.34 %
Ethereum	$2,167.03	2.77 %
BNB	$645.46	2.59 %
XRP	$1.41	1.73 %
Solana	$91.76	3.04 %

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🎬WATCH

How the DTCC is Tokenizing $100 Trillions in Assets | Tom Sullivan

In this episode of The Defiant Podcast, Cami sits down with Tom Sullivan, Managing Director at DTCC Digital Assets.

Tom explains DTCC’s role as the trusted infrastructure behind much of the U.S. securities market, why blockchain has become a real infrastructure priority, and how tokenized assets could improve collateral mobility, settlement efficiency, and capital efficiency across global markets.

Watch the full interview:

Latest Clarity Act Draft Bans Rewards on Passive Stablecoin Balances

Crypto industry leaders reviewed the draft stablecoin yield language in the Digital Asset Market Clarity Act during a closed-door session on Capitol Hill on Monday, and the opening reaction was that the text was overly narrow and unclear, according to multiple reports. The draft bans yield payments for simply holding a stablecoin and restricts any structure that is economically equivalent to a bank deposit, CoinDesk reported.

Why it matters: While some argued that this latest draft is in line with expectations, Circle’s stock plummeted almost 20% on the news yesterday.

CFTC Launches Innovation Task Force Covering Crypto, AI, and Prediction Markets

The U.S. Commodity Futures Trading Commission (CFTC) announced the formation of an Innovation Task Force aimed at developing clearer regulatory frameworks for crypto assets, artificial intelligence, and prediction markets within U.S. derivatives markets.

Why it matters: The task force will also coordinate with other federal bodies, most notably the SEC and its Crypto Task Force.

Bittensor Subnet Tokens Surge as TAO Rally Boosts Ecosystem

Decentralized artificial intelligence (AI) protocol Bittensor's native TAO token has rallied over 100% over the past month from around $180 at the start of March to nearly $364 as of March 25, and the momentum is spilling over into its subnet token ecosystem.

Why it matters: The valuation of each subnet token is determined by the amount of TAO staked into that subnet's reserves, creating a direct economic link between TAO's price and subnet token performance.