Eric Trump Blasts Big Banks Over Stablecoin and Crypto Yield Dispute

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TLDR

  • Eric Trump labeled JPMorgan, Bank of America, and Wells Fargo as “anti-American” due to their lobbying efforts against stablecoin yields
  • He noted that banks offer customers annual percentage yields (APY) ranging from 0.01% to 0.05% while earning approximately 3.65% from the Federal Reserve
  • Crypto platforms aim to provide yields of 4% to 5% or higher on stablecoins via legislation such as the Clarity Act
  • JPMorgan CEO Jamie Dimon stated that stablecoin issuers should face bank-like regulation if they pay interest to users
  • White House crypto advisor Patrick Witt pushed back against Dimon, arguing that offering yield alone doesn’t necessitate bank-level regulation

This week, Eric Trump publicly criticized major U.S. banks, alleging they’re lobbying to prevent Americans from getting better returns on their savings via crypto stablecoins.

In a Wednesday post on X, Trump specifically named JPMorgan Chase, Bank of America, and Wells Fargo, claiming the banks are prioritizing their own profit margins over consumer interests.

Trump highlighted the disparity between the rates banks pay their customers and what they earn from the Federal Reserve. He noted banks pay depositors as low as 0.01% to 0.05% APY, while receiving roughly 3.65% from the Fed.

He contended that crypto platforms are now challenging this model by planning to offer stablecoin yields of 4% to 5% or higher, and that banks are attempting to halt this via legislative means.

According to Trump, the American Banking Association and other lobbying groups are spending millions to limit these yields through the Clarity Act, a move he described as “anti-retail, anti-consumer, and straight-up anti-American.”

Eric Trump is a co-founder of , which issues the USD1 stablecoin. The company is also pursuing a banking charter through the Office of the Comptroller of the Currency.

The Trump family’s participation in World Liberty Financial has faced criticism, with some expressing concerns about possible conflicts of interest due to President Donald Trump’s role in shaping crypto policy.

Banks Push Back on Stablecoin Yields

Banks have argued that allowing stablecoin platforms to pay interest might lead to a large-scale movement of deposits away from traditional financial institutions, which they claim could cause financial instability.

CEO Jamie Dimon shared his views earlier this week, stating that any stablecoin issuer that pays interest on balances should be subject to the same regulatory standards as banks.

“If you’re going to be holding balances and paying interest, that’s a bank. You should be regulated like a bank,” Dimon said.

White House Crypto Advisor Responds

Patrick Witt, executive director of the President’s Council of Advisors for Digital Assets, challenged Dimon’s perspective, saying it’s misleading to connect stablecoin yields to bank-level regulation.

Witt explained that the critical factor isn’t whether a platform offers yield, but whether it lends out or rehypothecates the underlying deposits—this practice, he said, is what demands bank-level oversight, not just the payment of yield.

President Donald Trump also posted about the Clarity Act on Tuesday, urging Congress to advance the bill. He repeated similar criticisms of banks delaying the stablecoin-related provisions.

Donald Trump’s post followed a meeting with Coinbase CEO Brian Armstrong, who had publicly pulled his support for the bill in January due to concerns about its stablecoin provisions and other sections.

The White House has been facilitating discussions between traditional finance and crypto companies to bridge differences. To date, no final agreement has been reached regarding the stablecoin yield issue.