Eric Trump, co-founder of World Liberty Financial and son of former President Donald Trump, has publicly criticized major banks for their opposition to stablecoin yields in ongoing legislative discussions. His remarks, made on X (formerly Twitter), highlight a broader conflict between traditional banking institutions and the burgeoning cryptocurrency sector.
In his post, Trump accused banks such as JPMorgan Chase, Bank of America, and Wells Fargo of lobbying against legislation that would allow higher yields on stablecoin savings. He argued that banks currently offer minimal interest rates compared to the returns they receive from the Federal Reserve, which they retain as profit.
“Today, the banks are desperately targeting crypto/stablecoins, where platforms plan to offer 4–5%+ yields or rewards,” Trump stated. He expressed concern over what he perceives as an attempt by banks to maintain their low-rate monopoly, suggesting that their lobbying efforts are detrimental to consumers.
Trump’s comments come as the American Bankers Association (ABA) and other lobbyists work to restrict stablecoin yields through proposed legislation, including the Clarity Act. He characterized these efforts as anti-consumer and accused the banks of using terms like ‘fairness’ and ‘stability’ to mask their true intentions.
World Liberty Financial, which Trump co-founded, issues its own stablecoin, USD1, and is seeking a charter from the Office of the Comptroller of the Currency. Trump has previously voiced frustrations regarding banks, claiming that they have marginalized him and his family.
His father, Donald Trump, also addressed the Clarity Act, urging Congress to advance the bill while criticizing banks for their resistance to stablecoin yield negotiations. However, the impact of their statements on the legislative process remains to be seen.
The former president’s comments followed a meeting with Coinbase CEO Brian Armstrong, who had previously withdrawn support for the Clarity Act due to concerns over its stablecoin provisions. This meeting underscores the ongoing tensions between the cryptocurrency industry and traditional financial institutions.
Additionally, Patrick Witt, the White House’s executive director for cryptocurrency issues, responded to remarks made by JPMorgan CEO Jamie Dimon, who suggested that stablecoin issuers should face regulations similar to those imposed on banks.
Eric Trump has criticized major banks for opposing stablecoin yields in legislative discussions, arguing that their lobbying efforts harm consumer interests. His comments reflect ongoing tensions between traditional banking and the cryptocurrency sector, particularly regarding proposed legislation like the Clarity Act.