House lawmakers took part in a contentious debate over how stablecoins should be regulated at a hearing held by the Financial Services Committee’s digital assets panel—where there were also some hopeful signs from both sides.
At the heart of the debate on May 16 was the level of involvement of state regulators and the Federal Reserve. Rep. French Hill (R-Ark.), who chairs the Subcommittee on Digital Assets, supports legislation that gives more power to state regulators, while Rep. Maxine Waters (D-Calif.), the ranking Democrat on the overall committee, advocates for a leading role for the Federal Reserve in the Democratic proposal. …