White House to Meet with Banks and Crypto Companies to Tackle Senate Standoff on Digital Asset Rules

Following the impasse in Senate progress on digital asset regulation, the White House is set to convene senior figures from the banking and cryptocurrency sectors on Monday to explore how to move major crypto legislation forward. The meeting comes as negotiations in Congress remain stuck, despite growing pressure from both industry and the administration to establish clearer rules for the sector.

Regulatory Split Slows Crypto Policy Momentum

According to Reuters, people familiar with the matter say the session will be organized by the White House crypto council and will focus on unresolved questions around stablecoin rewards. This issue has become a key obstacle within the Senate Banking Committee, slowing momentum on legislation that was once expected to advance more smoothly.

The hold-up is linked to disputes between banks and crypto companies over the treatment of stablecoin rewards. Banking associations have raised concerns about the GENIUS Act, the stablecoin law passed in July 2025, which bars issuers from paying returns directly to holders but allows third-party platforms, such as exchanges, to offer incentives. This distinction has sparked debate over whether the framework gives digital asset firms an unfair edge.

The split in policy is reflected in the positions of the respective industries. Banking associations warn that unclear rules around stablecoin incentives could divert deposits from traditional lenders and strain community banks. Meanwhile, segments of the crypto sector argue that banks are seeking to limit competition and point out that similar discussions were already underway before the GENIUS Act became law.

White House Seeks to Bridge Crypto Divide

Given this, the planned White House meeting is seen as an attempt to narrow these differences and revive cooperation between two industries that have long clashed over the bill. It also shows the Trump administration’s push to keep the legislation moving after months of gridlock.

Crypto advocacy groups have responded positively to the talks. Summer Mersinger, who leads the Blockchain Association as its chief executive, has indicated that the organization welcomes the opportunity to engage directly. She has emphasized the industry’s interest in working with policymakers to help Congress establish durable market rules and preserve the United States’ position in the global crypto economy.

Slow Senate Progress Spurs Calls for Action

The current standoff follows years of lobbying that pushed lawmakers to take digital asset regulation more seriously. Crypto companies have consistently maintained that existing financial laws do not adequately cover blockchain-based assets and that tailored legislation is essential to provide certainty in the U.S. market. That effort led the House Financial Services and Agriculture Committees, and later the full House, to pass the Clarity Act with backing from some Democratic lawmakers.

Meanwhile, progress in the Senate has been far slower than expected, with several hurdles still in place

• The Senate Agriculture and Banking Committees must first revise and approve their bills before the full chamber can vote, meaning the legislation cannot advance until both committees reach agreement.
• A hearing originally scheduled for January 15 was canceled after Coinbase withdrew its support, highlighting ongoing concerns around tokenized equities and stablecoin rewards.
• The Senate Agriculture Committee is still expected to hold its hearing on Thursday, though draft proposals released last week failed to secure backing from Democratic members.

The slow pace in the Senate has only strengthened calls from the administration to push lawmakers toward a comprehensive crypto market framework. The Executive Director of the President’s Council of Advisors for Digital Assets, Patrick Witt, said there will be a crypto market structure bill—it’s a question of when, not if. He added that the current moment provides a rare chance to pass legislation with a president supportive of crypto, a Congress aligned to move it forward, and a robust industry capable of supporting implementation. Witt warned that delays could result in future policymakers introducing stricter, punitive measures after a potential financial crisis.