The STABLE Act gains momentum after the US House Committee voted in favor of the bill amid bipartisan support on Wednesday.
The US House Financial Services Committee, a bipartisan committee within the US House of Representatives, has voted in favor of the Republican-supported STABLE Act bill. Following bipartisan support on April 2, the proposal passed with a 32-17 vote.
STABLE Act Progresses Through Congress
The Stablecoin Transparency and Accountability for a Better Ledger Economy Act, also called the STABLE Act, passed the US House Committee markup yesterday. The legislation aims to create a regulatory framework for stablecoin issuance in the United States.
Proposed by Republican Representatives French Hill and Bryan Steil, the bill will provide much-needed clarity around the operation of payment stablecoin issuers, mandating transparency and customer-centricity among operators of these assets.
Notably, the United States under Donald Trump is keen on promoting US dollar-based stablecoins, which it believes will strengthen its currency’s usage and dominance globally. With the approval from the US House of Financial Services Committee, the stablecoin bill will now move to the full House floor for a decision.
Donald Trump’s Stablecoin Dabble Spur Markup Row
Meanwhile, the April 2 STABLE Act was not without roars and backlash, specifically on Donald Trump’s growing involvement with the crypto sector despite being president. While the legislation gained bipartisan support, Democrats insisted that the Trump family’s stablecoin endeavor bred a conflict of interest.
For context, Trump’s World Liberty Financial (WLFI) announced the launch of stablecoin USD1 on Ethereum and BNB Chain in late March. Interestingly, the debut came on the heels of the US Senate’s approval of the Guiding and Establishing National Innovation for US Stablecoin (GENIUS) Act.
Despite supporting the legislation, Democrats pushed for amendments that impede Trump, his cabinet, and other special government employees like Elon Musk from launching a stablecoin while in office. Meanwhile, Republicans disagreed with the proposal, leveraging its slim majority to vote against it.
Pro-crypto journalist Eleanor Terret confirmed that the back-and-forth argument ensured the markup lasted for 13 hours, with Trump’s controversial stablecoin dabble protracting the sitting. Nonetheless, it ended in bipartisan support of the bill, with a 32-17 vote and a failed attempt to prevent WLFI from proceeding with its stablecoin venture.
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