A member of the Senate’s banking committee, a Republican Senator from Tennessee Bill Hagerty, said the Genius law will allow the implementation of the potential of new demand for US Treasury bonds and stimulate financial innovations.
“Steabelcoins have potential not only to improve transactions and payment systems, but also for creating a new demand for US Treasury bonds, especially in the conditions of working on the solution of the problem of state deficit,” Hagerti said.
The Genius law proposes to divide the issuers of stablecoins into two categories, depending on the size of the current assets. For example, companies in which the volume of emissions of stablecoins exceeds $ 10 billion will be equal to banking institutions and are subject to supervision from the US Federal Reserve.
Smaller issuers, who have less than $ 10 billion in circulation, will continue to work in accordance with state norms if they voluntarily choose federal supervision. Non -bank issuers fall under the supervision of control of the monetary circulation controller (OCC).
Additionally, all issuers of stablecoins will be required to receive licenses and form sufficient reserves from material and liquid assets such as US Treasury bonds or cash to guarantee the stability of their digital assets.
Earlier, Bill Hagerti said that digital assets and technologies, such as bitcoin and blockchain, can become key elements of the future transformation of the US financial sector.
Source: Bits

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