New Congressional Bill Seeks to Regulate Stablecoins

A trio of Democratic lawmakers has introduced a bill that would regulate stablecoins, including Facebook’s Diem (formerly Libra), Decrypt reports.

Congresswoman Rashida Tlaib, along with Rep. Jesús “Chuy” García and Rep. Stephen Lynch, announced the Stablecoin Tethering and Bank Licensing Enforcement (STABLE) Act

The STABLE Act, as written, would require stablecoin issuers to have a banking charter and earn regulatory approval from the Federal Reserve, the FDIC, and other agencies before issuing that coin. They must also be FDIC-insured or maintain an equivalent number of dollars at the Federal Reserve.

Read more: Decrypt