Bill to address stablecoin risks in the US may be delayed until September

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Unresolved issues in the bill reportedly include custodial wallet regulations from the Treasury Department and concerns from the Securities and Exchange Commission.

Lawmakers in the US House of Representatives have reportedly pushed back the deadline for considering a bill addressing the potential risks of stablecoins.

According to a Monday report from the Wall Street Journal, people familiar with the matter said House members will likely delay voting on a stablecoin bill until September after failing to complete it. draft in time for the committee meeting on Wednesday. Unresolved issues in the bill include custodial wallet regulations from the Treasury Department and concerns from the Securities and Exchange Commission.

Treasury Secretary Janet Yellen is said to want to work with the Biden administration to respond to the bill. Neither has publicly weighed in on the proposed legislation, but Yellen has previously called for regulatory clarity in the crypto space around stablecoins, citing concerns about TerraUSD (formerly UST). ) depends on the US dollar. President Joe Biden’s executive order from March is also aimed at addressing gaps in regulatory oversight of digital assets.

To date, lawmakers have delayed or been unable to come to an agreement on many bills that propose to regulate stablecoins in the United States. In February, New Jersey Representative Josh Gottheimer introduced a bill, the Stablecoin Innovation and Protection Act, that would allow the Federal Deposit Insurance Corporation to support stablecoins in a manner similar to deposits. fiat. A bipartisan bill introduced by Cynthia Lummis and Kirsten Gillibrand in the Senate in June also proposes regulating stablecoins issued by financial institutions but could be delayed for consideration until 2023.

In addition, UK lawmakers have continued to move forward with stablecoin legislation amid a government shake-up – many members resigned in July in response to the former Prime Minister’s reaction. soon to be Boris Johnson about a scandal. The country’s Treasury Department has also begun looking into legalizing stablecoins as a form of payment.

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