The United States National Treasury has been issuing warnings about its use for some time, but now it has gone further and made its regulatory intentions on stablecoins explicit.
This body recently issued a document recommending “that Congress move promptly to enact legislation to ensure stablecoins are subject to a federal framework on a consistent and comprehensive basis. “
Specifically, they indicate that “the legislation should provide for supervision on a consolidated basis, prudential rules and, potentially, that appropriate components of the federal safety net can be accessed. “
The document also maintains that “Legislation should limit stablecoin issuance and related reserve asset redemption and maintenance activities to entities that are insured depository institutions.”
This would allow only financial entities, which are authorized to guard money and other assets, to be able to issue stable cryptocurrencies. This leaves out stablecoins such as DAI, which is decentralized, or algorithmic stablecoins.
“Legislation should ensure that supervisors have the authority to implement standards that promote interoperability between stablecoins.”, the text also points out, which would practically force trading platforms to indiscriminately accept various stablecoins by legal mandate.
Source From: Ambito
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