David Sacks predicted that banks would fully embrace crypto once crypto market structure legislation is approved.
“I think what’s going to happen is that after market structure passes, the banks are going to get fully into the crypto industry. So we’re not going to have a separate banking industry and crypto industry. It’s going to be one digital assets industry,” Sacks said in a CNBC interview today.
The White House crypto czar urged both the crypto industry and the banking sector to compromise on the stablecoin yield issue to advance a market structure bill to President Trump’s desk.
“I’m in favor of reaching a solution and facilitating a compromise so that we can get a bill for market structure on the president’s desk,” Sacks said.
The dispute centers on whether stablecoins should be permitted to pay yield, with banks opposing the provision and crypto firms pushing to compete. Sacks said banks should acknowledge that stablecoin yield remains a live issue under existing law as negotiations over market structure continue.
“If the bill ends up dying, then there will be a form of rewards,” Sacks said, urging banks to recognize their negotiating position. “If there’s no deal, then they’re going to lose on this issue. So I think it’s in their interest to work something out.”
“I bet you over time, the banks like the idea of paying yield because they’re going to be in the stablecoin business,” he added.
Sacks also pressed crypto advocates to consider the broader stakes.
“I understand that yield is philosophically important to them, but so is getting an overall market structure bill,” he said.
On the question of regulatory parity, Sacks acknowledged banks’ concerns about uneven treatment.
“Everyone offering the same product should be regulated in the same way. And we want to get to that harmonization,” he said.
Sacks compared the current impasse to the GENIUS Act’s rocky path, noting it “died about three times before it finally passed.” He suggested a similar process may be necessary. “A good compromise is everyone leaves a little bit unhappy,” he said.
