Regulation of Stablecoin More Likely This Year?

The Crypto Times

According to Investment bank TD Cowen, that recent talks between Senate Majority Leader Chuck Schumer and House leaders may result in stablecoin legislation being passed either this summer or in the year-end lame-duck session.

To deliberate on the legislation of stablecoin House Financial Services Chair Patrick McHenry and Ranking Member Maxine Waters met with Schumer last week.

The possibility of linking the stablecoin bill to other bills like the reauthorization of the Federal Aviation Administration (FAA) was also discussed.

Due to global concerns, the urgency for the Federal Aviation Administration reauthorization which is reportedly now set for a deadline of May 10 might be extended, notably recent tensions between Iran and Israel.

This situation may give Congress more freedom to negotiate and craft a wider legislative package that consists of regulation of stablecoin.

A regulatory framework for stablecoins reportedly has been under development by Waters and McHenry, with the primary focus on the jurisdiction of regulatory authorities. The bill was advanced by the committee, but its progress was halted by partisan differences and a contentious clause about the state regulators' involvement in stablecoin issuances.

Meanwhile, senators Cynthia Lummis and Kirsten Gillibrand in the Senate are getting ready to come up with a bill aimed at clarifying stablecoins and protecting consumers.

Regulation of stablecoin might be something that could help boost its adoption. The crypto community needs to come forward approach the lawmakers and discuss what could be the best possible outcome that is acceptable to both parties.

Hive: @haveyoursay
X: www.x.com/newsintercept
Website: www.newsintercept.com

Posted Using InLeo Alpha