Federal Reserve Governor Bowman: States and the federal government need to collaborate in the area of stablecoins

ChainCatcher news, according to The Block, Federal Reserve Governor Michelle Bowman urged state and federal governments to establish partnerships to jointly regulate stablecoins, while lawmakers are drafting related legislation.

On Wednesday, Bowman was asked at the DC Blockchain Summit hosted by the Digital Chamber about the roles that state and federal governments should play in addressing stablecoin issues. Bowman stated that states are more willing to discuss the expansion in this area, "An important point for me is to establish partnerships."

Bowman said, "U.S. currency comes with risks such as runs, which may require us to provide protections for the dollar. Therefore, from the Federal Reserve's perspective, it is important that we have the ability to participate and negotiate with any framework that ultimately takes shape, whether it is the current legislation or other frameworks that emerge as stablecoins develop in the U.S. The Federal Reserve should have a seat at the negotiating table."