Tether engages with US lawmakers to craft new federal regulations for stablecoins. These efforts aim to ensure the reliability and transparency of digital assets.
Details of Tether's Congressional Talks
Tether is actively discussing with US lawmakers new regulations governing the stablecoin market. According to Fox Business reporter Eleanor Terrett, the company is collaborating with Congressmen Bryan Steil and French Hill on the STABLE Act introduced earlier this year. Tether CEO Paolo Ardoino confirmed the company's intent to participate in crafting additional stablecoin bills.
Current Federal Reserve Position
Federal Reserve Board member Christopher Waller expressed support for stablecoins in a February 6 interview, noting their potential to broaden the dollar's global reach. However, he also voiced concerns about risks like de-pegging events and ecosystem fragmentation.
Tether Executives' Comments
Tether is actively participating in discussions to adapt to US legislation. Involvement requires the company to conduct monthly reserve audits and maintain one-to-one collateral for tokenized fiat equivalents.
Tether's participation in the regulatory process underscores the importance of transparency and collaboration with authorities for industry development. The stance of both Tether and the Federal Reserve highlights the growing significance of stablecoins in maintaining the US dollar's leading position globally.
