JPMorgan urges US lawmakers to ban yield bearing stablecoins

Senior executives at JPMorgan Chase have called on U.S. lawmakers to establish a comprehensive regulatory framework for digital assets that prioritizes financial stability and consumer protection, while explicitly advocating for a ban on yield-bearing stablecoins. In a blog post published on Monday, June, 29, 2026, Global Co-Head of JPMorgan Payments Umar Farooq and CEO of Digital Assets and Blockchain Solutions Peter Muriungi outlined the bank's position as Congress debates major crypto market structure legislation, including the Digital Asset Market Clarity Act.

The executives argued that while blockchain technology and tokenization hold significant potential to modernize payments and enable instant settlement, new regulations must close existing oversight gaps rather than create new risks. They emphasized that digital assets and platforms functioning as securities, exchanges, or brokers should be subject to the same investor protection, disclosure, and market integrity standards as traditional finance. The post also stressed the need to preserve strong anti-money laundering and law enforcement tools to prevent illicit activity.

A central point of contention highlighted in the...