The US House Financial Services Committee has approved a bill aimed at regulating stablecoins, which are cryptocurrencies tied to fiat currencies.
Approval of the STABLE Act
On April 2, the Committee voted to pass the Stablecoin Transparency and Accountability for a Better Ledger Economy (STABLE Act) with a 32-17 vote. The bill will now proceed to the House floor for a full vote.
Objectives of the Bill
The bill aims to regulate payment stablecoins, a type of crypto token linked to currencies like the US dollar, by ensuring issuers provide information about their operations and how they back the tokens.
Other Stablecoin Legislation
Other stablecoin-related bills are also making their way through Congress, including the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act, which outlines oversight and reserve requirements for issuers.
As the US continues to develop legislative frameworks for stablecoins, the country takes steps towards establishing oversight for issuers. Stay tuned for updates as this story develops.
