US Treasury report says stablecoin legislation is ‘urgently needed’ to address risks By Cointelegraph

The President’s Working Group on Financial Markets, or PWG, has launched a report suggesting that stablecoin issuers within the United States ought to be topic to “appropriate federal oversight” akin to that of banks.

A Nov. 1 U.S. Treasury report from the group with the Office of the Comptroller of the Currency and Federal Deposit Insurance Corporation stated Congress ought to “act promptly to ensure that payment stablecoins are subject to appropriate federal prudential oversight on a consistent and comprehensive basis.” The authorities companies stated stablecoin issuers ought to be held to the identical requirements as insured depository establishments together with state and federally chartered banks and financial savings associations as they shield clients’ deposits and restrict “any potential negative systemic impacts in the event of bank failure.”