Christopher Wires support at the Stablecoins Bank, citing the strengthening of the dollar’s dominance
He supports the governor of the Federal Reserve, Christopher and Errier, and sees it as a way to secure the dominance of the US dollar as a backup currency in the world. In an interview on Thursday, Waller stressed that Stablecoins could serve as an essential tool in the global economy, but only under strict organization.
“You may want some regulatory bars around them to make sure that the money exists.” Add. He explained that although Stablecoins can be technically linked to any currency, the majority is linked to the dollar, which enhances the role of Greenback internationally.
Its attachment, of course, comes amid efforts to organize Stablecoins and avoid chaos in the market that struck the encryption industry during Terra and FTX accidents.
Dodes of Congress is a draft law to control
Congress has already presented draft Legislation to create a frame to organize Stablecoin. It seems that both Democrats and Republicans are ready to cooperate in new laws, according to the draft law, which makes it one of the few areas of the agreement in Washington.
The Chairman of the Financial Services Committee, French MP Hill, and Chairman of the Sub -Committee for Digital Assets, MP Brian Steel, issued a draft discussion of the draft law. According to the draft, the legislation will make illegal to issue anyone Stablecoin in the United States unless it is “a source of permissible payment.”
The draft law requires that exporters maintain a reserve from 1 to 1 liquid assets to support Stablecoins. Reserves can include US currency, insured deposits and short -term cabinet bills with 90 days or less, central bank deposits.
The exporters should publicly reveal these reserves every month. Reports will need to determine both the total number of Stablecoins and the exact collapse of the assets you support.
In addition to the transparent reserve, the proposed law includes a difficult base against Rehypothecation. Exporters cannot reuse or undertake their reserves for other purposes except for liquidity needs through re -purchase agreements.
Stablecoins has lost its pegs in dollars several times due to market events, organizational procedures, and even electronic attacks on decentralized financing protocols (Defi).
The proposed legislation also sets a narrow time schedule for organizers. Federal and state agencies will have 180 days after the draft law has passed to create and implement an organizational framework. For companies that want to issue Stablecoins, the draft law of both banking entities and non -banks must apply to the basic Stablecoin regulator for the batch for approval.
The organizers have 45 days to notify the applicants if they are complete. Once the order is completed, they have 120 days to agree or reject it.
If the request is rejected, the regulator must provide detailed reasons within 30 days, including recommendations on how the applicant processes any deficiencies.
Exporters also have the right to appeal a rejection. They can request a written or oral hearing to challenge the decision, according to the project.
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