Biden Administration to Congress: Put Stablecoins Under Federal Supervision – Or We Will

Biden Administration to Congress: Put Stablecoins Under Federal Supervision – Or We Will
A group of U.S. regulators urged lawmakers to subject stablecoin issuers to the same strict federal oversight as banks, in a highly anticipated report released Monday.Congress should also require custodial wallet providers to be regulated by a federal agency and limit stablecoin issuers’ interactions with non-financial companies such as tech or telecom providers, the President’s Working Group for Financial Markets said. The latter recommendation appeared to be aimed squarely at Diem, formerly Libra, the controversial stablecoin project created by Meta, the social media giant previously known as Facebook.The report is part of an escalating effort by policymakers to rein in…