TechFlow reports that U.S. Senators Kirsten Gillibrand (D-N.Y.) and Cynthia Lummis (R-Wyo.) today introduced the Lummis-Gillibrand Payment Stablecoin Act, which aims to require stablecoin issuers to back their tokens one-to-one with cash or equivalent reserves.
The bill also bans unsupported algorithmic stablecoins and prohibits the use of stablecoins for illegal activities such as money laundering. The legislation seeks to encourage "responsible" innovation while protecting consumers, facilitating international transactions, and ensuring a balanced federal and state banking regulatory framework.
Add to Favorites
Share to Social Media
