Associated Press
Treasury report calls for stricter oversight of stablecoins
The Biden administration is calling on Congress to pass legislation that would strengthen government regulation of stablecoins, a form of cryptocurrency that has soared in popularity in the past year. In a 22-page report issued Monday, the Treasury Department and several other regulators said the legislation should require that stablecoin issuers become banks, which would potentially subject them to a wide range of rules, including those requiring that banks hold sufficient cash reserves and implement measures to prevent money laundering and other illicit activities. The highly-anticipated report was prepared by an interagency committee known as the President’s Working Group on Financial Markets, led by Treasury, which also includes the Federal Reserve, Securities and Exchange Commission, and Commodity Futures Trading Commission.
