As the election approaches, bipartisan divisions call into question the progress made in stablecoin legislation. Patrick McHenry, the chairman of the House Financial Services Committee, expressed optimism that a realistic framework would be created. Who should govern stablecoin issuers remains a mystery to politicians in both houses.
Cody Carbone of the Digital Chamber of Commerce estimates that the bill has a 50% probability of passing the House and a 5% chance of becoming law. The same stablecoin legislation is also before the Senate, which may provide it more prominence and specific consumer protections.
The selection of the regulatory entity that will regulate stablecoins is a significant barrier. While some activists favor government intervention, others propose assuming control of the Federal Reserve. This includes the RECOUP Act or the cannabis banking bill, which are tied to the stablecoin bill.
However, Speaker McCarthy’s position in the House may make it difficult for the Senate to reach a compromise, potentially preventing the bill from passing. Legislators may focus more on preparing for the incoming Congress than on the status of the bill as the elections approach.
Carbone of the Digital Chamber of Commerce advises that K-12 schools disregard their kids’ wishes by failing to convey the negative implications of specific online activities beginning in 2022.
