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The third draft of the stablecoin bill has been released by the United States House Financial Services Committee. The latest version was presented by its chair Representative Patrick McHenry.
The third draft, The Future of Digital Assets: Providing Clarity for the Digital Asset Ecosystem, was proposed on June 8th, six weeks after the second version which was released on April 24th. The latest bill will be formally discussed on June 13th, in a committee hearing The previous bill had a focus on stablecoin payments specifically. The updated draft now has more focus on who can issue stablecoins and further details on the requirements of a payment stablecoin.
If the current version of the bill is approved, it will become the most comprehensive legal guideline in the United States related to stablecoins. It will also be the first cryptocurrency legislation in the country.
What does the new US crypto bill entail?
The latest bill also looks to have the United States Federal Reserve as the main regulator to oversee the requirements – developing and monitoring – for issuing stablecoins. State regulators will also be involved in overseeing the companies that are issuing the tokens, according to the new bill. As per the proposed bill:
“Each state has a different regulatory framework for stablecoins. Generally, states have concluded that stablecoin issuers are engaged in money transmission activities and require issuers to obtain a license submitting to periodic examinations and take certain actions to safeguard consumers…Stablecoins and activities involving stablecoins may fall under the jurisdiction of several regulators depending on the composition of stablecoin reserve assets and the range of activities in which a user engages.“
It also considers the legal infrastructure of companies that will be able to issue stablecoins. The version, compared to the previous edition, offers extra authority to the federal regulator. This includes greater control in standing against state-regulated issuers if there is a reason to contradict the state authority.