Svmuu News: Negotiations on U.S. cryptocurrency legislation have hit a new impasse. The banking sector has stated it cannot support the compromise proposal pushed by the White House, which would allow stablecoin issuers to offer yield products in specific scenarios such as peer-to-peer payments, but would prohibit the provision of yields on idle holdings.While crypto firms have accepted the compromise, banks still seek to strictly limit the scope of businesses eligible for rewards, arguing that such provisions could trigger a flight of deposits. Standard Chartered estimates that by the end of 2028, stablecoins could siphon approximately $500 billion in deposits from the U.S. banking system. Donald Trump posted on the Truth Social platform stating that they would not allow the banking industry to “undermine our strong crypto agenda.” Representatives from the crypto industry, including Coinbase, Ripple, and the Blockchain Association, participated in the negotiations. Blockchain Association CEO Summer Mersinger stated that “the path to a workable agreement is clearer than it was a month ago.”The bill also faces other challenges: it needs the support of at least seven Democratic senators, some Democrats are calling for a ban on elected officials profiting from crypto businesses, and other lawmakers are urging the inclusion of stricter anti-money laundering provisions.The bill must also be reconciled with the Senate Agriculture Committee’s version and compete for a spot on the Senate’s limited agenda against other legislation, such as housing policy reforms. Adrian Wall, Managing Director of the Digital Sovereignty Alliance, noted that if the bill is not sent to the president for signature by July, the midterm elections will close the window for its passage.