Saturday, July 13, 2024

Pro-Bitcoin Senator Cynthia Lummis pushes stablecoin bill


Professional-Bitcoin (BTC) United States Senator Cynthia Lummis is drafting rules for stablecoins, a type of cryptocurrency pegged to real-world assets to make sure secure costs.

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Lummis has been working collectively with Senator Kirsten Gillibrand for a number of months on a invoice aiming to supply regulatory readability for stablecoins and defend buyers, the U.S.-based information company Axios reported on March 7.

Citing a number of spokespeople for Lummis and Gillibrand’s workplaces, the report notes that the senators hope to formally announce the information following encouraging suggestions from a number of stakeholders.

The New York Division of Monetary Companies, the Federal Reserve, the Treasury Division and the Nationwide Financial Council have offered technical help on the Senate invoice, the report talked about.

 Lummis and Senator Kirsten Gillibrand on the DC Blockchain Summit in 2022. Supply: Axios

For Lummis and Gillibrand, the work on stablecoin regulation wouldn’t be their first foray into drafting cryptocurrency-related laws. In July 2013, the senators introduced a joint effort to reintroduce laws aimed toward establishing a comprehensive regulatory framework for digital assets.

Lummis has emerged as a serious pro-Bitcoin lawmaker within the U.S., advocating for Bitcoin a number of instances.

In October 2021, Lummis urged the U.S. government to “thank God for Bitcoin” amid U.S. President Joe Biden approving one other increase of the nation’s debt restrict. Lummis referred to as on the U.S. authorities to reap the benefits of Bitcoin as a result of it’s decentralized and never managed by any authorities.

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Lummis can be recognized for accumulating vital quantities of Bitcoin, shopping for BTC in batches of $50,000 and $100,000 in 2021.

Whereas bullish on Bitcoin, Lummis has grown skeptical about some main stablecoins not too long ago, together with Tether (USDT), the largest stablecoin by market capitalization and probably the most traded cryptocurrency on the time of writing.

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In October 2023, Lummis backed a large marketing campaign in opposition to Tether, asking the U.S. Justice Division (DOJ) to consider criminal charges against the stablecoin firm amid some studies alleging that it engaged in illicit monetary transactions. Tether subsequently reacted to lawmakers’ requests for DOJ action, claiming it needs to be a “world class associate” to U.S. regulators.

Most not too long ago, Lummis has additionally been aggressively opposing central financial institution digital currencies, arguing that such digital currencies are “anti-democratic and a method of economic censorship.”

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