Circle CEO Jeremy Allaire, during an interview at the World Economic Forum's annual meeting in Davos, Switzerland, expressed a strong conviction that the United States will enact a stablecoin law within the year. This anticipated development comes amid a growing desire in the U.S. to assert leadership in the sphere of digital-dollar currencies.
Allaire's confidence is bolstered by recent progress from U.S. lawmakers, courts, and regulators. The upcoming legislation, according to Allaire, would not only reinforce U.S. leadership in global digital currency regulation but also introduce crucial consumer protections.
Among the significant bills under consideration is the Clarity for Payment Stablecoins Act, proposed by U.S. Representative Patrick McHenry. This act aims to provide stablecoin issuers a regulatory framework comparable to traditional financiers. Another notable proposal is the Stablecoin Transparency Act, introduced into Congress by Senator Bill Hagerty in March 2022.
Circle, the firm behind the popular stablecoin USD Coin (USDC), has been actively advocating for stablecoin legislation. Since late 2021, the firm has engaged in lobbying, spending an estimated $760,000 on these efforts, according to ProPublica.
Dante Disparte, Circle’s chief strategy officer and global head of public policy, echoed Allaire's optimism, highlighting the bipartisan nature of the current dialogue on payments stablecoin policy.
However, concerns about the use of stablecoins in criminal activities, such as funding terrorism or trafficking, remain a pressing issue for lawmakers. Addressing these concerns is crucial for advancing legislation that aligns with national and economic interests.
Disclaimer: Please note that the information provided in this article is based on the referenced research articles. It is essential to conduct further research and analysis before making any investment decisions. The cryptocurrency market is highly volatile, and investors should exercise caution and consult with financial professionals before engaging in cryptocurrency trading or investment activities.
