Recent congressional debate over the proposed CLARITY Act has highlighted a pivotal issue in stablecoin regulation: whether stablecoin issuers, or the exchanges and other third parties that distribute their tokens, should be permitted to offer yield to stablecoin holders. On January 12, the Senate Banking Committee released an updated draft of the CLARITY Act including
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DFPI Imposes Up to $1 Million Penalty on Crypto Kiosk Operator for Alleged Digital Financial Assets Law Violation
On January 16, the DFPI entered into a consent order with a digital financial asset kiosk operator, based on DFPI’s allegations that the operator violated the Digital Financial Assets Law (DFAL), the California Consumer Financial Protection Law (CCFPL), and the Bank Secrecy Act (BSA). According to the consent order, the kiosk operator:…
DFPI Orders Mortgage Lender to Pay $160,000 for Alleged Unlicensed Mortgage Loan Originator Activity
On December 31, the DFPI entered into a consent order with a residential mortgage lender to resolve allegations of unlicensed mortgage loan origination activity under the California Financing Law and the California Residential Mortgage Lending Act. The lender agreed to pay a $160,000 administrative penalty and to undertake additional compliance and review measures, while neither…
Executive Order Targeting Single Family Home Ownership
The Executive Order issued on January 20, 2026, titled “Stopping Wall Street From Competing with Main Street Homebuyers,” directs a coordinated federal response to limit the use of federally backed programs in facilitating the acquisition of single‑family homes by large institutional investors. Within 30 days of the Order, the Secretary of the Treasury—working…
DFPI Orders Crypto Lending Platform to Pay $500,000 for Alleged Unlicensed Lending and Underwriting Failures
On January 14, the DFPI announced a consent order requiring a crypto lending platform to pay $500,000 in penalties for alleged violations of the California Financing Law and the California Consumer Financial Protection Law. According to the regulator, the company offered crypto-backed consumer and commercial loans to California residents without obtaining a required finance lender…
Eleventh Circuit Affirms FTC Injunction Requiring Express Informed Consent for Fees
On January 6, the U.S. Court of Appeals for the Eleventh Circuit largely affirmed an FTC enforcement action under Section 5 of the FTC Act, upholding summary judgment and a permanent injunction against a corporate payments provider. The FTC alleged that the company engaged in unfair or deceptive acts or practices (UDAP) in connection with…
Maryland Finalizes Comprehensive Rules Governing Virtual Currency Kiosks
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OCC Proposes Clarifying Amendments to National Trust Bank Chartering Rule
On January 8, the OCC announced a notice of proposed rulemaking to amend its national bank chartering regulations to make clear that national trust companies can engage in non-fiduciary activities. According to the OCC, the proposal would neither expand nor contract its chartering authority under the National Bank Act.…
Trump Signals Credit Card Interest Rate Cap and Backs Credit Card Competition Act of 2026
President Donald Trump has announced a proposed cap on credit card interest rates and voiced support for legislation addressing credit card transaction fees. The statements were made in two separate posts on a social media platform. …
In a Retreat, CFPB Submits $145 Million Funding Request Following Court Order
On January 9, CFPB Acting Director Russel Vought submitted a $145 million funding request to Federal Reserve Board Chair Jerome Powell for the CFPB’s second quarter of fiscal year 2026. The notice states the submission was made in accordance with a court order directing the CFPB to continue to following the funding processes set out…