[Coinbase Chief Policy Officer Rebuts American Bankers Association: No Evidence Stablecoin Rewards Lead to Bank Deposit Outflows] BlockBeats News, August 26 — Coinbase Chief Policy Officer Faryar Shirzad published an article rebutting the American Bankers Association (ABA) over concerns regarding stablecoin rewards. She stated that the ABA believes stablecoin platforms offering rewards will cause community bank deposit outflows and weaken local credit, but existing data does not support this judgment. Current laws already allow such rewards, and Coinbase has been paying rewards to USDC users for over four years. Shirzad pointed out that from June 2019 to March 2026, community bank deposits grew by 26%, an increase of approximately $482 billion. Research by Charles River Associates and the U.S. Council of Economic Advisers similarly found no significant relationship between stablecoins and bank deposits. The ABA's requested changes are not related to technical details in the CLARITY Act. The existing text prohibits users from earning returns solely on idle funds but allows rewards for genuine activities. The ABA's proposed amendments could potentially expand restrictions to common stablecoin use cases and leave questions like whether merchant rebates constitute bank interest to regulators and litigation to decide. Shirzad called for maintaining the current compromise and passing the CLARITY Act, stating that the Act would grant banks new authorities in custody, staking, lending, payments, clearing, and market-making. [Original Link]