Lawmakers in Washington are closing in on a final agreement for the Digital Asset Market Clarity Act, a bill that would establish a comprehensive framework for crypto regulation in the United States, according to reporting from CoinDesk citing JPMorgan sources.

The bank said negotiations have entered a late stage, with most disputes resolved and only a small set of issues still under discussion. One senior policy official said that the list of contentious topics has narrowed from about a dozen to just two or three, signaling a shift toward consensus after years of debate.

At the center of the legislation is a long-standing question over how to divide oversight of digital assets between federal regulators. The bill would formalize jurisdictional boundaries between the Securities and Exchange Commission and the Commodity Futures Trading Commission, while also defining how tokens, stablecoins and decentralized finance platforms fit within existing financial law.

Lawmakers and industry participants have framed the measure as a critical step toward bringing regulatory certainty to a sector that has operated in a patchwork environment. Treasury Secretary Scott Bessent and other officials have urged Congress to act, warning that delays risk pushing innovation and capital to foreign markets with clearer rules.

One of the most sensitive issues in negotiations has been whether stablecoin issuers should be allowed to offer crypto yield or yield-like rewards to users. That debate has exposed a divide between crypto firms and traditional banks, which argue that such features could replicate deposit-taking without the same safeguards as insured accounts.

Recent negotiations have produced a compromise that would prohibit passive yield while allowing activity-based rewards tied to payments and platform usage. Policymakers involved in the talks said the framework balances concerns from banks with demands from the digital asset sector for product flexibility.

Crypto yield disputes might be near a resolution

The stablecoin debate has unfolded alongside a broader policy clash. A White House economic analysis found that banning yield would have limited impact on bank lending, while reducing returns for consumers. In response, the American Bankers Association argued the analysis failed to capture long-term risks, warning that yield-bearing stablecoins could draw deposits away from community banks and raise funding costs for local lenders.

Despite these tensions, JPMorgan said the emerging compromise could attract support from both sides. The bank pointed to growing alignment on key provisions, including anti-money laundering standards, custody requirements and operational rules for exchanges and brokers.

Momentum has also been reinforced by earlier legislative progress. The House of Representatives passed a version of the bill in 2025 with bipartisan support, and Senate negotiators are now working to finalize language ahead of a potential committee markup.

The final text has not been released, and no vote has been scheduled. Timing may prove critical as the 2026 midterm elections approach. A shift in control of Congress could alter legislative priorities and slow progress on crypto policy.