U.S. Senators Cynthia Lummis and Kirsten Gillibrand introduced a new stablecoin bill on Wednesday, hoping to create definitions for who can issue dollar-pegged digital assets and how.
The lawmakers unveiled a new stablecoin bill Wednesday in the latest effort to create legislation directly addressing this corner of the crypto market. Under their proposed bill, payment stablecoin issuers would have reserve and operational requirements, including needing to create subsidiaries specifically to issue stablecoins. The bill would also require stablecoin issuers to deal in dollar-backed tokens.
"It protects consumers by mandating one-to-one reserves, prohibiting algorithmic stablecoins, and requiring stablecoin issuers to comply with U.S. anti-money laundering and sanctions rules," she said."To draft the strongest bill possible, our offices worked closely with the relevant federal and state agencies and I’m confident this legislation can earn the necessary support in the Senate and the House.