{"id":125125,"date":"2020-12-03T06:36:19","date_gmt":"2020-12-03T03:36:19","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/us-lawmakers-seek-to-make-stablecoins-illegal-without-federal-approval\/"},"modified":"2020-12-03T06:36:19","modified_gmt":"2020-12-03T03:36:19","slug":"us-lawmakers-seek-to-make-stablecoins-illegal-without-federal-approval","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/us-lawmakers-seek-to-make-stablecoins-illegal-without-federal-approval\/","title":{"rendered":"# US lawmakers seek to make stablecoins illegal without federal approval"},"content":{"rendered":"

“# US lawmakers seek to make stablecoins illegal without federal app<\/a>roval <\/strong>”
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A new bill, introduced to US Congress on Wednesday night, could enforce blanket regulation on all stablecoins. If passed, any service provided in relation to these types of cryptocurrencies would become illegal without first receiving approval by multiple government bodies:<\/p>\n

“It shall be unlawful for any person to issue a stablecoin or stablecoin-related product, to provide any stablecoin-related service, or otherwise engage in any stablecoin-related commercial activity, including activity involving stablecoins issued by other persons, without obtaining written approval in advance, and on an ongoing basis, from the appropriate Federal banking agency, the Corporation, and the Board of Governors of the Federal Reserve System.”<\/p><\/blockquote>\n

The bill, dubbed \u201cThe Stable Act,\u201d is intended to \u201cprotect consumers from the risks posed by emerging digital payment instruments, such as Facebook<\/a>\u2019s Libra and other Stablecoins.\u201d However with just a month to go until the end of the 116th Congress, the bill faces an uphill battle to be approved in time. <\/p>\n

Assistant Professor at Willamette Law Rohan Grey explained<\/a> on Twitter that while the bill is primarily aimed at private stable tokens issued by large tech companies, it was worded in such a way as to include a \u201cwide range of monetary activities.\u201d Grey added that it bill seeks \u201cto prevent the kind of systematic \u2018shadow-banking\u2019 risks that led to the global financial crisis of 2007-2008.\u201d<\/p>\n

Democratic Party congresswoman Rashida Tlaib, the lead instigator of the bill, stated the Stable Act is designed to protect people of color and other minority groups who lack access to regulated financial services. <\/p>\n

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Preventing cryptocurrency providers from repeating the crimes against low- and moderate-income residents of color traditional big banks have is critically important. That’s why I’m proud to introduce the #STABLEAct<\/a> with @RepChuyGarcia<\/a> and @RepStephenLynch<\/a>. https:\/\/t.co\/yorQPo6wz4<\/a><\/p>\n

\u2014 Congresswoman Rashida Tlaib (@RepRashida) December 2, 2020<\/a><\/p><\/blockquote>\n