On February 10, Maxine Waters, ranking member of the U.S. House Financial Services Committee, introduced a proposed stablecoin bill she and Patrick McHenry drafted during the previous session of Congress.
New Stablecoin Legislation
The Waters-McHenry bill, not yet officially named, was prepared as a bipartisan initiative. Lawmakers hoped it would be considered by the 118th Congress. McHenry retired as chair of the committee at the end of the congressional session.
Bill's Aims and Content
A press release from the Financial Services Committee Democrats stated that the bill creates a regulatory framework for stablecoin issuers, prevents non-financial commercial companies from issuing stablecoins, and imposes additional restrictions, including consumer protections. The bill also "protects the existing authorities of the Treasury, CFPB, SEC, and CFTC with respect to any entity covered by the Act."
Alternative Proposals in the Senate
On February 7, the STABLE Act was released by Republicans French Hill and Bryan Steil, building on McHenry's efforts. The Senate is also considering the GENIUS Act, introduced by Bill Hagerty with the support of other senators.
The stablecoin bills being considered in both the House and Senate signify a substantial interest in establishing a regulatory framework for digital assets in the United States.
