It is reported that lawmakers in the US House of Representatives have pushed back the deadline for considering a bill regarding the potential risks of stablecoins.
According to a Wall Street Journal report released Monday, people familiar with the matter said Members of the House of Representatives are likely to delay voting on the stablecoin bill until September after failing to complete the bill in time for Wednesday’s committee meeting. Unresolved issues in the bill reportedly included Treasury Department custodial wallet provisions and concerns from the Securities and Exchange Commission.
Treasury Secretary Janet Yellen reportedly wanted to coordinate with the Biden administration on her response to the bill. Neither has spoken publicly about the proposed legislation, but Yellen has previously called for regulatory clarity in the crypto space around stablecoins, citing concerns about depegging TerraUSD (formerly UST) to the US dollar. President Joe Biden’s March executive order also aims to address gaps in the regulatory oversight of digital assets.
— Senator Pat Toomey (@SenToomey) May 10, 2022
To date, lawmakers have shelved or otherwise failed to reach agreement on many bills proposing to regulate stablecoins in the United States. In February, New Jersey Representative Josh Gotteimer introduced the Stablecoin Innovation and Protection Act, a bill that would allow the Federal Deposit Insurance Corporation to support stablecoins in a similar way to fiat deposits. A bipartisan bill introduced in the Senate by Cynthia Lummis and Kirsten Gillibrand in June also proposes regulation of stablecoins issued by financial institutions, but it could be delayed until 2023.
US pays attention to regulation of stablecoins
Across the ocean, lawmakers in the United Kingdom continued to advance stablecoin legislation amid a government reshuffle, with many members resigning in July in response to former Prime Minister Boris Johnson’s response to the scandal. The country’s finance ministry has also reportedly begun considering legalizing stablecoins as a form of payment.
Credit : cointelegraph.com