Anthony Scaramucci has warned that a new US rule could hand the upper hand to Beijing. Reports say he believes a ban on paying yield to holders of dollar stablecoins will make dollar-linked digital rails less attractive than the digital yuan, which is moving toward paying interest on wallets.
Stablecoin Yield Ban And Dollar Competitiveness
Lawmakers in Congress are considering a bill that would reshape how digital assets are treated in the United States.
“The whole system is broken,” Scaramucci said on X, reacting to the Clarity Act’s restriction that blocks crypto exchanges and service providers in the US from paying yield to stablecoin holders.
According to the bill text, the proposed Clarity Act would bar certain kinds of yield or interest from being paid in connection with holding payment stablecoins, closing off a path some platforms use to offer rewards. This change is woven into a broader effort to define which digital tokens fall under which regulators.
The whole system is broken: The Banks do not want the competition from the stable coin issuers so they’re blocking the yield in the meantime the Chinese are issuing yield so what do you think the emerging countries will choose as a rail system the one with or without yield?
— Anthony Scaramucci (@Scaramucci) January 16, 2026
Banks And Exchanges Push Back
Reports note the move has split industry players. Some banks have warned that easy access to yield outside the banking system could drain deposits and change lending patterns.
At the same time, major crypto firms have voiced concern that a hard ban on yield will blunt the competitiveness of US dollar-based token services and could push global users toward alternatives that offer returns.
The debate has also strained support for the bill, with at least one high-profile exchange pulling its backing amid disagreement.
China’s Move To Pay Interest On e-CNY
China is already acting on a different path. Based on reports, commercial banks there will be allowed to pay interest on digital yuan holdings, a step meant to boost use of the state’s central bank digital currency.
The change went into effect around the start of this year and was presented as a way to encourage people and institutions to try the e-CNY more often.
Stablecoins. Image: Warwick Business School
Why This Matters For Smaller Economies
Money flows respond to yield. If a digital yuan offers returns while US dollar tokens cannot, some governments and firms in emerging markets might favor the payment rails that provide a financial edge.
That is the central point behind Scaramucci’s warning. It’s not just about finance and stablecoins; it is also about which systems gain traction for trade and cross-border payments.
Regulators now face a tough call. Reports say the choice is between strict limits that curb certain crypto yields and looser rules that could pressure bank deposits. Either route carries tradeoffs for stability, competition, and the global reach of the dollar.
Featured image from Unsplash, chart from TradingView
