US Stablecoin Legislation Nears Approval: Rep. Waters

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US Stablecoin Legislation Nears Approval: Rep. Maxine Waters
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US Representative Maxine Waters, ranking member of the Financial Services Committee, has indicated that a bipartisan consensus on stablecoin legislation is within reach.

The announcement reflects months of negotiation and collaboration across party lines. This includes government agencies to introduce a regulatory framework for digital assets.

Final Draft of US Stablecoin Bill Ready Soon, Says Rep. Waters

According to Rep. Waters, the proposed bill, which she and Committee Chairman Patrick McHenry have deliberated for nearly two years, is nearing its final form. Conversely, this legislation promises to unite diverse stakeholders by establishing a clear regulatory structure for stablecoins. A type of cryptocurrency designed to maintain a stable value relative to a specified asset, typically the US Dollar.

Waters, speaking on Bloomberg Television, underscored the bill’s investor protection and market stability objectives. She acknowledged input from key financial authorities, including the US Federal Reserve, Treasury Department, and the White House, and emphasized the necessity of asset-backed guarantees to bolster stablecoin credibility.

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The legislation’s advancement coincides with a period of heightened scrutiny on the cryptocurrency industry and comes as Senators Kirsten Gillibrand and Cynthia Lummis prepare to unveil complementary stablecoin legislation. Their proposed bill aims to clarify the roles of the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) in cryptocurrency oversight.

Read More: A Guide to the Best Stablecoins in 2024

Moreover, Rep. Waters expressed hope for the concurrent passage of the marijuana banking bill. The bill aims to integrate the burgeoning cannabis industry into the federal banking system. Which addresses the safety and operational issues posed by cash-heavy operations.

Additionally, the stablecoin legislation, along with the marijuana banking bill, may be included in the Federal Aviation Administration reauthorization package. This strategy could expedite the enactment process. If successful, these measures would mark significant milestones in US financial regulation. Markedly catalyzing broader acceptance and use of digital assets in the economy

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