"During a chance encounter over coffee with former U.K. prime minister Tony Blair, JPMorgan Chase CEO Jamie Dimon abruptly cut in, pointing a finger and telling Armstrong bluntly, "You are full of s-," according to reporting from The Wall Street Journal. The outburst underscored some of the raw tensions happening between traditional banks and crypto firms over the future of U.S. financial regulation."
"At the heart of the dispute is the issue of yield. Coinbase and others offer rewards on stablecoins - digital tokens pegged to the U.S. dollar - that can return about 3.5% to holders. Traditional banks, by contrast, pay near-zero on checking and savings accounts. Banking executives say allowing crypto platforms to offer such returns is economically indistinguishable from interest on bank deposits and could trigger a mass shift of consumer funds out of the banking system."
Brian Armstrong encountered a heated confrontation with JPMorgan CEO Jamie Dimon at Davos, where Dimon interrupted and accused Armstrong of being 'full of s-'. Armstrong had publicly accused big banks of trying to sabotage the Senate's Clarity Act and of using legislative muscle to stifle competition. The core dispute centers on yield: crypto platforms offer about 3.5% on stablecoins while banks pay near-zero on deposit accounts. Banking executives warn that interest-like stablecoin rewards could prompt a mass shift of deposits and strain community bank lending. Coinbase withdrew support for the Clarity Act, contributing to legislative gridlock.
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