According to ChainCatcher news, the Secretary for Financial Services and the Treasury, Christopher Hui, proposed the second reading of the "Stablecoin Bill" at the Legislative Council meeting today and hopes to pass it as soon as possible. The regulatory framework focuses on the following three points:Licensees must maintain a robust reserve stabilization mechanism to ensure that the reserve assets of stablecoins consist of high-quality and highly liquid assets, with a total value at all times at least equal to the face value of the circulating fiat currency stablecoins, and properly segregated and safeguarded;Holders of stablecoins should have the right to redeem stablecoins from the issuer at face value, with redemption requests processed without unreasonable fees and within a reasonable timeframe;A series of requirements must be specified to combat money laundering, risk management, disclosure regulations, auditing, and appropriate candidates, among others.

ChainCatcher news, according to the press release from the Government of the Hong Kong Special Administrative Region, Hong Kong today published the "Stablecoin Bill" in the Gazette to introduce a regulatory framework for fiat-backed stablecoin issuers in Hong Kong. The purpose of the "Bill" is to improve the regulatory framework for virtual asset activities to address the potential risks that fiat-backed stablecoins pose to financial stability, ensure that users have adequate protection, and harness the benefits that virtual assets and their related technologies can bring. Under the proposed licensing system, anyone engaging in any of the following activities must obtain a license from the Financial Management Commissioner:(i) Issuing fiat-backed stablecoins in Hong Kong as part of their business;(ii) Issuing fiat-backed stablecoins that claim to be pegged to the value of the Hong Kong dollar as part of their business;(iii) Actively promoting the issuance of their fiat-backed stablecoins to the public in Hong Kong.To effectively implement the system, the "Bill" also proposes to grant the Financial Management Commissioner necessary regulatory, investigative, and enforcement powers. The "Bill" will be submitted to the Legislative Council for its first reading on December 18.

According to ChainCatcher, The Block reported that U.S. Senators Kirsten Gillibrand and Cynthia Lummis have introduced a stablecoin bill.The bill will require stablecoin issuers to hold a one-to-one cash or cash-equivalent reserve to back their tokens, prohibit unsupported algorithmic stablecoins, and assert that both issuers and users cannot use stablecoins for illegal or unauthorized purposes such as money laundering.The bill also intends to establish a federal and state regulatory framework for stablecoin issuers to maintain a dual banking system, granting federal and state entities the authority over stablecoin charters and enforcement.

ChainCatcher news, according to Punchbowl News, the chances of passing a regulatory framework for stablecoins in the U.S. Congress this year are increasingly slim, but the furthest-reaching lawmakers pushing for legislation reportedly held a meeting with Senate Majority Leader Chuck Schumer.It is reported that the Chairman of the House Financial Services Committee, Republican Patrick McHenry from North Carolina, and the senior Democratic member of the committee, Democratic Congresswoman Maxine Waters from California, met with Chuck Schumer on Thursday in an attempt to advance the legislative process.

ChainCatcher news, Democratic Senator Kirsten Gillibrand of New York announced at the Bitcoin Policy Summit held at the National Press Club in Washington that, while negotiations are still ongoing, she expects to jointly introduce a new stablecoin bill with Republican Senator Cynthia Lummis of Wyoming later this week or next week.Kirsten Gillibrand stated that her goal is to "unlock the potential of cryptocurrency and realize the original intent of Bitcoin as a means of payment. We are working with the Federal Reserve, the Treasury Department, and the New York State Department of Financial Services to allow non-depository institutions to issue stablecoins while promoting safety and soundness within the industry."

ChainCatcher news, according to Cointelegraph, California Democratic Representative Maxine Waters stated that U.S. lawmakers are very close to reaching an agreement on the stablecoin bill.

ChainCatcher news, according to Coindesk citing informed sources, House Democrats are considering drafting a new stablecoin bill proposal, but their views significantly differ from those of the Republicans. This proposal is a follow-up to the version led by Maxine Waters and Patrick McHenry last year, with Maxine Waters having stated a few weeks ago that lawmakers might need to start from scratch. (Source link)

ChainCatcher News, a new bill from the U.S. House Financial Services Committee proposes allowing non-bank stablecoin issuers to access central bank funds. According to the 73-page legislative draft, any bank or non-bank applicant must receive a decision within 90 days, or they will be automatically approved. The penalty for operating unlicensed stablecoins has been set at $100,000 per day.The proposed bill introduces new rules and regulations for payment stablecoin issuers in the United States. The legislation will explicitly grant non-bank stablecoin issuers full access to central bank deposit accounts and central bank borrowing. Even the Treasury Department acknowledges that central bank deposits have the potential to provide the safest asset backing, while other acceptable stablecoin backing assets include physical cash, short-term government bonds, and government bond-based repurchase agreements (repos). (Source link)

ChainCatcher News, the U.S. House Financial Services Committee has released a draft version of the stablecoin bill, proposing a pause on the use of stablecoins backed by other cryptocurrencies, as well as requirements to study central bank digital currencies (CBDCs). The bill also calls for a suspension of new stablecoins backed by other types of tokens until research can be conducted, among other things.In addition, the House Financial Services Subcommittee will hold a hearing on stablecoins on Wednesday, with participants including Dante Disparte from Circle, Jake Chervinsky from the Blockchain Association, Professor Austin Campbell from Columbia University, and Adrienne Harris, the head of the New York Department of Financial Services. (Source link)

Chain Catcher News reports that, according to sources, the plan to release a draft stablecoin bill before the end of this week has been shelved due to significant divisions among the factions in negotiations. According to three people familiar with the negotiations, although the initial plan aimed to release the bill draft as early as this week, the legislative work to push for the first set of significant U.S. regulations for the cryptocurrency industry remains stalled due to negotiations between the committee's Democratic chair and its top-ranking Republican. There are many key points that need to be sorted out, including the role of state regulators, the possibility of a future digital dollar in the U.S., and the handling of customer funds held by cryptocurrency platforms, among other tricky topics. (CoinDesk)