Kirsten Gillibrand prepared the project in collaboration with Wyoming Senator Cynthia Lummis. Specialists from the Federal Reserve System and the New York State Department of Financial Services were involved in the development.
“The new bill is the product of a common sense compromise. It balances the interests of federal authorities, state authorities and interested market participants, which means it will stimulate innovation in the cryptocurrency industry,” the senator assured.
The bill provides for the possibility of issuing digital stable coins for depository and financial institutions, as well as non-banking institutions – after passing the approval procedure with government agencies. The federal authorities are given a dominant role and supervisory authority over banking and non-banking institutions, while retaining the role of the states as the primary functional regulator.
If the law is passed, it will not only be a prelude to unlocking the positive potential of the digital asset industry, but will provide the conditions for the integration of Bitcoin into the US financial system, believes Kirsten Gillibrand.
Last year, Kirsten Gillibrand and Cynthia Lummis joined forces to work on bills that would bring clarity to the regulation of cryptocurrencies.
Source: Bits
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