House Republicans have released a discussion draft focused on regulating stablecoins, seeking feedback from consumers and stakeholders. Chairman French Hill highlighted its objective to clarify regulations around dollar-backed stablecoins.

The draft also includes a proposed two-year ban on stablecoins that are solely backed by self-issued digital assets. The Secretary of the Treasury is tasked with studying the risks associated with this form of stablecoin.

Federal Reserve Governor Christopher Waller expressed support for regulated stablecoins, noting that they could enhance the dollar’s status as a dominant reserve currency. The discussion aligns with the Trump Administration’s priorities for crypto regulation.