1. The "Bank Rules for Bank Acts" Mandate

JPMorgan Chase, led by CEO Jamie Dimon and executives within its Onyx and Payments divisions, has emerged as a primary advocate for "functional equivalence" in U.S. crypto market structure legislation. The bank's core demand is that any digital asset platform performing bank-like functions—specifically deposit-taking and interest-bearing activities—must be subject to the same capital, liquidity, and consumer protection standards as traditional financial institutions.

JPMorgan's lobbying efforts are currently focused on the Digital Asset Market Clarity Act (CLARITY Act), which cleared the Senate Banking Committee in May 2026 [Source: https://www.theblock.co/post/298123/clarity-act-senate-banking-committee-may-2026].

1. The "Bank Rules for Bank Acts" Mandate

JPMorgan argues that regulatory clarity is only beneficial if it closes existing gaps rather than creating "shadow banking" channels. Their specific demands for safeguards include:

• Capital & Liquidity Requirements: Mandatory buffers to ensure solvency and prevent "run risk" during periods of high market volatility [Source: https://www.jpmorgan.com/payments/news/regulatory-clarity-digital-assets].
• FDIC-Style Protections: Requirements for federal deposit insurance or equivalent legal safeguards to protect customer funds in the event of a platform failure.
• Regulatory Oversight: Subjecting crypto platforms to the same level of supervision as the ~84 regulators that oversee traditional banks to ensure a "level playing field" [Source: https://www.coindesk.com/policy/2026/06/29/jpmorgan-demands-bank-like-standards-for-stablecoins/].

2. Prohibition of Stablecoin Yield

A major point of contention in Congressional negotiations is JPMorgan's opposition to stablecoins paying passive yield or interest.

• The Demand: JPMorgan is demanding a total prohibition on stablecoins paying interest, rewards, or cashback on held balances.
• The Rationale: Jamie Dimon has argued that these features mislead consumers into assuming bank-level protections exist where they do not. Dimon has reportedly vowed to fight these provisions "down to the wire," stating that "the banks will not accept it that way" [Source: https://www.coindesk.com/policy/2026/05/29/jamie-dimon-stablecoin-yield-fight/].

3. Market Integrity and AML Safeguards

JPMorgan insists that the underlying blockchain technology should not exempt assets from existing legal frameworks:

• Securities Parity: Assets functioning as securities must comply with traditional investor-protection and disclosure standards, regardless of their digital form.
• No Infrastructure Exemptions: The bank warns against broad exemptions for DeFi or crypto infrastructure, arguing they create "blind spots" for illicit finance and market manipulation [Source: https://www.jpmorgan.com/payments/news/regulatory-clarity-digital-assets].
• AML/KYC Preservation: Legislation must preserve strong Anti-Money Laundering (AML) and Know Your Customer (KYC) tools to prevent opaque pipelines for illicit activity.

Comparison of JPMorgan's Demands vs. Legislative Status

JPMorgan maintains that "clarity with gaps or loopholes can push activity into lightly supervised channels and weaken long-standing protections" [Source: https://www.jpmorgan.com/payments/news/regulatory-clarity-digital-assets]. While the CLARITY Act has made progress, the final safeguards regarding stablecoin interest and DeFi oversight remain the most significant hurdles for reconciliation between the House and Senate.