Patrick Witt hits back at 134 bank leaders over CLARITY Act

White House crypto adviser Patrick Witt criticized banking leaders seeking tighter stablecoin reward restrictions as Senate delays pushed the CLARITY Act’s passage odds to a record low. Summary 134 banking executives and leaders urged senators to expand restrictions on stablecoin rewards and incentives. Witt accused banks of opposing legislation that already prohibits stablecoin issuers from paying interest. Polymarket traders cut the bill’s 2026 passage odds to a record-low 27%. Senate scheduling decisions have narrowed the window for action before the Aug. 8 recess. Patrick Witt challenges banks over CLARITY Act Witt pushed back after 134 banking executives and industry leaders sent Senate lawmakers a letter seeking changes to Section 10404 of the CLARITY Act. Banks: We must ban the payment of interest on stablecoins to protect community bank lending!Clarity Act: Bans payment of interest on stablecoins.Banks: The Clarity Act must be stopped, or it will destroy community bank lending!!!Make it make sense… 🫠 https://t.co/g3Icx3NGmu— Patrick Witt (@patrickjwitt) July 29, 2026 The section restricts issuers from paying interest or yield on payment stablecoins. Banking groups want lawm...