U.S. Senator Proposes New Stablecoin Legislation Requiring Issuers to Have "High-Quality Liquid Assets" Backing

ChainCatcher news, retiring Senator Pat Toomey has introduced a stablecoin bill that guides Congress in developing future cryptocurrency regulations. The stablecoin bill will establish new federal licenses for stablecoin issuers, allowing recipients of the new licenses to issue payment stablecoins in conjunction with deposit institutions, state money transmitters, non-depository trust companies, and state-chartered trust banks.

Additionally, the proposal will require issuers to fully back their payment stablecoins with "high-quality liquid assets" and will set new standardized public disclosure requirements for issuers. Disclosures will include the assets backing the payment stablecoins, redemption policies, and attestations from public accounting firms. It is reported that senior lawmakers on the House Financial Services Committee expect to advance a stablecoin bill next year. (source link)