Dorothy D. DeWitt will speak at the Women in Digital Assets Forum. #Womenindigitalassetsforum #cryptoregulation #crypto #Womenincrypto https://lnkd.in/gKcyZquP

U.S. Commodity Futures Trading Commission FIA, Inc. #CFTC #FIA #CommodityFutures

This morning U.S. Senators Cynthia Lummis (R-Wyo.) and Kirsten Gillibrand (D-N.Y.) unveiled narrowly tailored payment stablecoin legislation. 📑 TLDR? ✅ Definition - A payment stablecoin is a dollar-pegged digital asset "that is, or is designed to be, used as a means of payment or settlement." ✅ Issuers "obligated" to convert to dollars. ✅ Asset itself is NOT a security. ✅ Issuers would either have to be non-depository trust companies registered with the Fed or a depository institution "authorized as a national payment stablecoin issuer." ✅ Allow banks and non-bank trust companies to issue stablecoins through dedicated subsidiaries. ✅ Ban “unbacked, algorithmic” stablecoins. ✅ Introduce capital and one-to-one reserve requirements. ✅ Direct the FDIC to develop a regulatory regime to address the failures of stablecoin firms. ✅ Permit state financial regulators to authorize and supervise stablecoin-issuing trust companies below $10 billion, a figure based on the outstanding value of a firm’s issued coins. ✅ Give the Federal Reserve power to issue enforcement actions unilaterally against stablecoin firms larger than $10 billion but be required to take “joint” action with state authorities below that threshold. 🪙 Stablecoin Legislation Stablecoin legislation has long been seen as having the best shot of passage given the relative state of agreement between regulators and industry on the need for a clear framework that includes one-to-one reserve requirements. However, it has been slow going. House Financial Services Chair Patrick McHenry (R-N.C.) and Ranking Member Maxine Waters (D-Calif.) have worked on stablecoin legislation for years with a bill finally voted out of Committee last year. That bill has not moved in the wake of instability in House leadership, a divisive political environment, and myriad crises at home and abroad. A comprehensive framework that protects consumers by mandating one-to-one reserves and requires stablecoin issuers to comply with U.S. anti-money laundering and sanctions rules would be a great step forward in providing clarity to businesses, maintaining the strength of the US dollar, and ensuring innovation remains in the US.