Jamie Dimon says stablecoins paying interest should face bank rules

JPMorgan Chase CEO Jamie Dimon said stablecoin issuers that pay interest on customer balances should be regulated like banks, arguing for equal oversight to ensure fairness and safety.

In an interview with CNBC, Dimon drew a line between transaction-based rewards and interest on stored balances, as Washington debates how to police dollar-pegged tokens.

His comments land as lawmakers and the White House weigh whether issuers should be allowed to offer yield, and as negotiations over new market structure rules remain stuck.

Dimon’s case for bank-like oversight

Dimon told CNBC that paying interest on customer balances is essentially a banking activity and should come with equivalent requirements, including capital, liquidity and deposit insurance.

“Rewards are the same as interest,” he said. “If you are going to be holding balances and paying interest, that’s the bank. You should be regulated by a bank,” according to CNBC.

He said banks could accept a compromise in which platforms offer rewards tied to transactions, but not interest on stored balances.

The goal, he added, is a “level playing field by product,” with like-for-like services facing similar oversight to keep risks from building outside the regulated system.

Clash with Coinbase’s Armstrong

The remarks sharpen an ongoing dispute with Coinbase CEO Brian Armstrong, who has pushed for allowing stablecoin rewards without bank-level oversight.

The two clashed publicly earlier this year, with Dimon reportedly telling Armstrong at the World Economic Forum that he was “full of s—” and to stop “lying on television” about banks sabotaging legislation, according to Benzinga’s coverage.

Armstrong told CNBC in February that he saw a “win-win outcome” for both sides.

Dimon disagrees, saying it cannot be that one set of firms pays interest without regulation while banks follow stricter rules, warning that “the public will pay” if gaps persist.

Policy battle over the CLARITY Act

The CLARITY Act, described by Benzinga as President Donald Trump’s flagship bill on crypto market structure, missed its March 1 White House deadline without a deal.

The sticking point is whether platforms can offer yields on stablecoin balances.

Coinbase pulled support for the bill in January after the Senate moved to restrict rewards programs, and talks between banks and crypto executives have reportedly stalled.

Polymarket bettors currently give the CLARITY Act a 70% chance of becoming law in 2026, according to Benzinga.

Separately, the Office of the Comptroller of the Currency last week proposed rules that would bar platforms like Coinbase and PayPal from offering rewards on third-party stablecoins such as Circle’s USDC, Benzinga reported.

According to CNBC, lawmakers are reviewing new draft language circulated by the White House, though banking and digital asset firms have yet to agree on whether issuers should be allowed to offer yield on customer holdings.

Market and industry context

Dimon emphasized that JPMorgan supports competition and utilizes blockchain in its own operations, pointing to the bank’s deposit token, JPM Coin, and distributed ledger tools, as reported by both CNBC and Benzinga.

Broader market moves underline the backdrop. Bitcoin is down about 23% year-to-date, Benzinga noted.

Coinbase shares are down more than 50% from their July 2025 all-time high near $420. JPMorgan hit an all-time high of $327.78 in late December, according to Benzinga.

Coinbase’s Q4 revenue fell 22% year-over-year to $1.78 billion, missing Street estimates of $1.85 billion, Benzinga reported.

What to watch next

The core question is whether interest on stablecoin balances will be treated like bank deposits.

Dimon’s push for parity sets a clear marker as Congress and regulators consider new guardrails.

With the CLARITY Act stalled and the OCC floating limits on rewards, the outcome on yield will likely decide how stablecoin businesses operate — and who supervises them.