Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesCopyBotsEarn
Sen. Hagerty's stablecoin bill may shape 2025 regulation

Sen. Hagerty's stablecoin bill may shape 2025 regulation

GrafaGrafa2024/10/15 04:05
By:Mahathir Bayena

Sen. Bill Hagerty’s draft stablecoin legislation could set the foundation for future regulation in 2025, according to a note from TD Cowen on Monday.

The Tennessee Republican introduced a draft bill last week that outlines a regulatory framework for stablecoins, including provisions for issuers exceeding a $10 billion threshold and maintaining one-to-one reserves with U.S. currency.

TD Cowen’s Jaret Seiberg noted that the draft bill could be a blueprint for legislation next year, particularly if Donald Trump wins the presidency, as Hagerty is reportedly close to the former president.

Seiberg added that bipartisan agreement on which regulators would oversee stablecoins will be essential for the bill's success.

Hagerty, a Senate Banking Committee member, also highlighted that his draft aligns with work done by House Financial Services Chair Patrick McHenry and Rep. Maxine Waters.

Their previous bill advanced out of the Republican-led committee but faced opposition due to provisions allowing state regulators to approve stablecoin issuances without Federal Reserve input.

According to Seiberg, if Trump wins the 2024 election, the likelihood of Hagerty's bill advancing will increase.

Momentum for a stablecoin bill may build before the year’s end, as Waters recently expressed her desire to reach a bipartisan agreement on stablecoin regulation during a congressional hearing.

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Locked for new tokens.
APR up to 10%. Always on, always get airdrop.
Lock now!