US Senators Kirsten Gillibrand and Cynthia Lummis have jointly introduced a new bill called the Lummis-Gillibrand Payment Stablecoin Act.
This legislation has been in the works for several months and the senators plan to make it public in 2024.
The main objective of this bill is to regulate payment stablecoins.
Subscribe to our Telegram channel to get weekly short digests about events that shape the crypto world
The proposed bill outlines requirements for issuers to have one-to-one reserves, creates state and federal regulatory systems for businesses, and prohibits the illicit use of stablecoins.
Senator Gillibrand says establishing a regulatory framework for stablecoins is crucial to maintaining the dominance of the US dollar.
The 179-page bill allows state non-depository trust companies to issue up to $10 billion in payment stablecoins.