Circle, the issuer of the USDC stablecoin, called on the US Congress to speed up the development of regulation for stablecoins.

“Since 2019, there has been constant talk about risk, and we have faced complete inaction,” said Dante Disparte, director of strategic development at Circle.

According to him, the time has come for the US Congress to pass bills in the financial sector. Disparte recalled how 2008 prompted the country to move towards comprehensive banking reforms.

“I think it is high time for US authorities to act. To act is not to ban innovation, but to encourage it. But now there is not enough action,” he added.

Recall that the recent collapse of Silicon Valley Bank (SVB) led to market turmoil that briefly caused the USDC stablecoin to lose its peg to the dollar. After Circle reported that the company had $3.3 billion in SVB-related reserves, USDC fell to $0.89 but soon recovered.

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Earlier, Circle CEO Jeremy Allaire said the company would transfer all remaining deposits from SVB to BNY Mellon accounts. In addition, he announced a new partnership with Cross River Bank. Ellire said that thanks to the integration of payment services, on March 13, Circle will resume conducting settlement transactions in US dollars in an automated mode.