Rep. McHenry Gives Status Report on Stablecoins Legislation, Says It's an "Ugly Baby"
The prominent member of the House Financial Services Committee hailed the bipartisanship behind the upcoming bill, but says there is has "complex conversations" ahead.
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Patrick McHenry, a senior member of the U.S. House of Representatives Financial Services Committee, thinks the "conversation has defused" on fintech and needs to get back to solving real-world problems. He is currently in talks on legislation that could at least bring more clarity to stablecoins.
Currently, there is no U.S. federal definition of digital assets or stablecoins, McHenry said, calling the situation "retrograde." McHenry, House Financial Services Committee Chair Maxine Waters, and the Treasury Department have been negotiating legislation for months to regulate stablecoins “in an election year, in a divided Washington.” He spoke positively about the bipartisan nature of the legislation taking shape and the compromises that were made between him and Waters, and said:
"We agree on the asset, i.e. a tightly defined set of assets, 1:1 support, no leverage. [..] Then we go into more complex conversations."
Speaking at DC Fintech Week, McHenry named "the means by which we hold" stablecoins, regulating wallets and determining the federal regulator for them as outstanding issues. These decisions are “less science, more art,” he said. The resulting draft is "a pretty ugly baby," according to McHenry, who added that it could turn into something more appealing.
Related: Republican Lawmakers Demand Digital Dollar Answers From Fed Vice Chairman
McHenry has said that if he becomes chairman of the financial services committee after the midterm elections, he will make crypto regulation a priority. McHenry could become committee chairman if the Republican Party wins a majority in the House. He
The prominent member of the House Financial Services Committee hailed the bipartisanship behind the upcoming bill, but says there is has "complex conversations" ahead.
New
Patrick McHenry, a senior member of the U.S. House of Representatives Financial Services Committee, thinks the "conversation has defused" on fintech and needs to get back to solving real-world problems. He is currently in talks on legislation that could at least bring more clarity to stablecoins.
Currently, there is no U.S. federal definition of digital assets or stablecoins, McHenry said, calling the situation "retrograde." McHenry, House Financial Services Committee Chair Maxine Waters, and the Treasury Department have been negotiating legislation for months to regulate stablecoins “in an election year, in a divided Washington.” He spoke positively about the bipartisan nature of the legislation taking shape and the compromises that were made between him and Waters, and said:
"We agree on the asset, i.e. a tightly defined set of assets, 1:1 support, no leverage. [..] Then we go into more complex conversations."
Speaking at DC Fintech Week, McHenry named "the means by which we hold" stablecoins, regulating wallets and determining the federal regulator for them as outstanding issues. These decisions are “less science, more art,” he said. The resulting draft is "a pretty ugly baby," according to McHenry, who added that it could turn into something more appealing.
Related: Republican Lawmakers Demand Digital Dollar Answers From Fed Vice Chairman
McHenry has said that if he becomes chairman of the financial services committee after the midterm elections, he will make crypto regulation a priority. McHenry could become committee chairman if the Republican Party wins a majority in the House. He
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