Banking regulators have proposed new rules that would restrict third parties from passing stablecoin yield rewards to users. The regulatory change could significantly impact major crypto exchanges like Coinbase, though experts disagree on the exact implications for the industry.
The article discusses regulatory pressures on stablecoin issuers regarding interest distribution and the competitive dynamics between digital dollars and traditional bank deposits. It explores the ongoing debate over who should receive the risk-free rate earned on stablecoin reserves.
Eleven US senators have called for a federal investigation into Binance's sanctions compliance and anti-money laundering controls. The request follows reports of Iran-linked transactions on the platform and concerns about potential sanctions evasion risks.
Tether has frozen $4.2 billion worth of USDT tokens connected to illicit activities over the past three years, demonstrating the company's cooperation with law enforcement. This highlights the growing role of stablecoin issuers in combating financial crimes and money laundering through blockchain-based assets.
Crypto mixer usage has rebounded to near pre-ban levels following the 2022 Tornado Cash sanctions, reaching 32,000 transactions in 2025. Research shows the crackdown primarily deterred legitimate privacy-seeking users while criminals adapted by migrating to alternative platforms and methods.