Some cryptography leaders push the congress to allow stablecoin issuers to pay interest on their pointed token in US dollars.
The leaders aim to add this provision to the bills of Stablecoin which are taken into account by the Chamber and the Senate, Reuters reported Thursday April 3).
Currently, the stablecoin issuers arouse interests on American treasury bills and the other cash equivalents they hold to maintain an ankle on the dollar, but do not transmit any interest to the holders of the tokens, according to the report.
Supporters of the authorization of issuers to pay interest on stablescoins argue that issuers should be allowed to do so because they already have the assets and arouse interests and that it is not just that banks can share interests with consumers while cryptographic companies cannot, depending on the report.
The report cited Jamming CEO Brian Armstrong To say: “The government should not put its thumb on the scale in favor of one industry in relation to another.”
Opponents of the proposal counter according to which interest was paid on stalls, customers would move the deposits of the regulated banking system, would destabilize the banking system, reducing the capacity of banks to provide loans and other services, and put taxpayers on losses.
The report underlined a declaration of the American Bankers Association That said: “This concept is not a simple competitive concern; Rather, it presents an important risk for the fundamental role that banks play in the intermediation of credit. ”
This debate occurs at a time when the bills which would establish a regulatory framework for the stablecoins are traveling through the congress, and the supporters want to see this provision added to these bills, according to the report.
Wednesday, April 2, a bill which was approved by the Chamber of Financial Services Committee currently prohibits stable issuers from paying interest, while a bill which was advanced by the Senate Banking Committee in March is less specific, according to the report.
It was reported on March 13 that the Senate stable bill, the Geniusis on a “fast way” because it was advanced by a vote of 18-6 with bipartite support in the senatorial banking committee and because it is a priority by President Donald Trump.
