The U.S. Senate’s Banking, Housing, and Urban Affairs Committee will hold a hearing to discuss stablecoins on December 14. The meeting titled “Stablecoins: How Do They Work, How Are They Used, and What Are Their Risks?” will be streamed live from the committee website. The witnesses have been confirmed as Ms. Alexis Goldstein, Director of Financial Policy at the Open Markets Institute, and Professor Hilary J. Allen, from the American University Washington College of Law.
Senate Banking Chair Sherrod Brown had sent letters to stablecoin issuers.
The hearing comes after a round of letters were sent out by Senate Banking Chair Sherrod Brown targeting CEOs of major stablecoin issuers. The letters, dispatched on November 23, were sent to Coinbase, Gemini, Paxos, TrustToken, Binance, and Centre. Sherrod sought clarification on redemption processes, issuance, and trading of stablecoins, presumably as a basis to work from in the upcoming hearing next week.
Regulators across countries are currently working on regulating the crypto industry in some capacity.
Industry CEOs attend congress a hearing on crypto.
Today, a Congress hearing titled “Digital Assets and the Future of Finance: Understanding the Challenges and Benefits of Financial Innovation in the United States” took place. Industry CEOs attended the hearing and served to clarify some of the misconceptions policymakers have regarding the crypto industry and its underlying technology. In early November, the Treasury Department also eyed stablecoins, recommending that they were subject to “appropriate federal oversight.” The President’s Working Group also released a report on stablecoins recently calling on lawmakers to restrict their issuance to banks.