US Senate approved regulatory structure for cryptocurrencies (designs by Fernando Cortes/ Canva Pro)
The US Senate approved on Tuesday a bill to create a regulatory structure for dollar -linked cryptocurrency tokens, known as stablecoinsin a decisive moment for the digital active industry.
The project, nicknamed Genius, received bipartisan support, with several democrats joining most republicans to support the proposed federal rules. The House, controlled by Republicans, needs to approve its version of the project before it is sent to President Donald Trump’s table for approval.
“It’s an important milestone,” said Andrew Olmem, managing partner at Advocacy Office Mayer Brown and former director of the National Economic Council during Trump’s first term.
“It establishes, for the first time, a regulatory regime for Stablecoins, a financial product and a rapidly development industry.”
Ballast with liquid assets
Stablecoins – a type of cryptocurrency designed to maintain a constant value, usually parity from 1 to 1 for the dollar – are commonly used by cryptocurrency operators to move tokens funds. Its use has grown rapidly in recent years, and its advocates say they could be used to send payments instantly.
If sanctioned, the Stablecoins Bill would require tokens to be backed by net assets – such as dollars and short -term treasury letters – and that the broadcasters publicly disclose the composition of their reservations every month.
The cryptocurrency industry has long pressured congressmen to approve legislation that creates rules for digital assets, arguing that a clear structure could allow StableCoins to become more widely used.
The sector spent more than $ 119 million supporting pro-criminal candidates for the US Congress in last year’s elections, trying to portray the issue as bipartisan.
House had another project
The House approved a bill about Stablecoins last year, but the Senate – in which Democrats held the majority at the time – did not analyze it. Thus the text was rejected.
Trump tried to widely reformulate US cryptocurrency policies after cutting industry resources during his presidential campaign.
Bo Hines, who leads Trump’s Digital Asset Advisors Council, said the White House wants a Stablecoins bill to be approved before August.
Capitol tensions on the various Trump cryptocurrency projects threatened, at one point, to harm the search for the digital asset sector by legislation this year.
Trump’s cryptocurrency projects include a meme currency called $ Trump, launched in January, and the World Liberty World, a partial property cryptocurrency company.
The White House said there are no conflicts of interest to Trump and that their assets are in a fund administered by their children.
Source: Moneytimes
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