Clarity Act approval odds drop amid JPMorgan stablecoin yield fight

**Garlinghouse Accuses Dimon of Blocking Clarity Act to Protect JPMorgan Payments Revenue**

Brad Garlinghouse, CEO of Ripple, said on Fox Business that JPMorgan head Jamie Dimon is misrepresenting the Clarity Act to protect a roughly $20B-a-year payments franchise, with profits over $5B.

The dispute centers on one clause in H.R. 3633 — the Digital Asset Market Clarity Act of 2025 — allowing crypto exchanges to offer stablecoin yield. Dimon and the banking lobby have made blocking this provision their top priority.

Prediction market Polymarket now puts the odds of the bill passing in 2026 at 49%, down 18 points in a week.

Dimon has repeatedly attacked the yield clause, saying it weakens compliance and allows illicit use. In May, speaking about Coinbase CEO Brian Armstrong’s lobbying for the bill, he alleged “hundreds of millions” spent in Washington and said Armstrong was “full of sh*t.”

Banks argue yield-bearing stablecoins act as deposit substitutes, diverting household savings from banks and reducing lending capacity. The American Bankers Association and Bank Policy Institute issued a joint statement against the yield provision in early 2026.

White House CEA analysis (April 2026) found:

• Banning stablecoin yield would raise bank lending by just $2.1B — a 0.02% credit supply increase.
• Consumers would lose $800M in net welfare.
• Large banks would capture 76% of extra lending; community banks 24%.

Garlinghouse says Dimon’s compliance arguments mask the real driver — protecting JPMorgan’s payments franchise from competition by yield-bearing stablecoins.