Circle exec to join US Congressional committee hearing on stablecoin payments, legislation

The United States House Committee connected Financial Services a.k.a the Financial Services Committee volition clasp a proceeding connected April 19 to sermon stablecoins’ presumption arsenic a means of outgo and whether oregon not the ecosystem needs supporting legislation.

The Financial Services Committee issued a memorandum to denote an upcoming proceeding titled “Understanding Stablecoins’ Role successful Payments and the Need for Legislation.” The proceeding volition beryllium based connected the information collected implicit the past year demanded by the Federal government.

List of individuals testifying astatine the upcoming Financial Services Committee hearing. Source: house.gov

The supra database shows the participants who volition beryllium testifying astatine the hearing, which includes Circle’s main strategy serviceman and caput of planetary policy, Dante Disparte. Last month, connected March 11, Circle’s in-house stablecoin offering, USD Coin (USDC), depegged from the US dollar aft the institution revealed that Silicon Valley Bank did not process its $3.3 cardinal withdrawal request.

2/ Like different customers and depositors who relied connected SVB for banking services, Circle joins calls for continuity of this important slope successful the U.S. system and volition travel guidance provided by authorities and Federal regulators.

However, pursuing an aggravated intervention, USDC managed to repeg its worth to the dollar. During this timeline, hackers managed to summation entree to Disparte’s Twitter relationship and started promoting fake loyalty rewards to long-time users of USDC.

The upcoming Financial Services Committee proceeding volition absorption connected the assorted stablecoins and their usage successful the payments landscape. Moreover, the committee volition research the request for stablecoin authorities depending connected their underlying collateral structures.

Related: Circle and BlockFi questioned connected banking with SVB by Warren and AOC

Just days earlier the upcoming hearing, a draft measure providing a model for stablecoins successful the United States was published connected the House of Representatives' papers repository.

Speaking astir the draught bill, Circle's CEO Jeremy Allaire said that "there is intelligibly the request for deep, bi-partisan enactment for laws that guarantee that integer dollars connected the net are safely issued, backed and operated."

As Cointelegraph reported, the draught further allows the U.S. authorities to found standards for interoperability betwixt stablecoins.

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