Leaders of the House Financial Services Committee announced their inability to reach a consensus on a bill designed to regulate stablecoins, cryptocurrencies tied to assets like the U.S. dollar. Committee Chair Patrick McHenry and Ranking Member Maxine Waters had been working on legislation that would task the Federal Reserve with creating rules for stablecoin issuance while maintaining the role of state regulators. Previous versions of the bill sought to address Democratic concerns about potential regulatory loopholes that would allow issuers to choose less stringent state oversight.
McHenry attributed the impasse to White House intervention after initial optimism about reaching an agreement. This setback follows the committee's bipartisan advancement of a separate bill aimed at establishing a broader regulatory framework for cryptocurrencies, clarifying the distinction between securities and commodities. Several Democrats joined Republicans in supporting this broader measure, which is also under consideration by the House Agriculture Committee.
Image: The United States Capitol in Washington, D.C.
