During an interview with Politico Pro, Rep. Maxine Waters revealed that U.S. lawmakers are on the brink of finalizing stablecoin legislation. Waters stated on Feb. 7 that negotiators are on the verge of reaching an agreement on regulating stablecoins, which are cryptocurrencies tied to assets like the U.S. dollar. This comes after months of negotiations with Committee Chairman Patrick McHenry (R-N.C.) to find common ground on the issue.
Last April, the U.S. House Financial Services Committee introduced a bill aimed at overseeing stablecoin issuers. The Committee’s website highlighted the benefits of implementing federal regulations for stablecoins, including cost reduction for companies issuing them. Despite the potential for improving electronic payment efficiency, these tools come with significant risks, according to the bill’s authors.
With the rapid growth of the cryptocurrency market and the associated risks and opportunities, U.S. authorities are emphasizing the importance of legislative regulation. Recent incidents involving Terraform Labs and FTX have underscored the need for proper oversight in the industry.
In related news, a congressman is advocating for limitations on the SEC’s funds for enforcing crypto-related regulations. Stay updated with the latest developments by following us on Google News.