Are stablecoins in the sights of U.S. regulators?
The decline of Terra Luna and it’s UST (and correlating LUNA) token earlier this year brought along plenty of fanfare. It’s full damage and implications, however, have clearly yet to be established; a new draft of a U.S. House bill is proposing a two-year ban on stablecoins similar to Terra’s UST stablecoin.
UST depegged and caused major ripples throughout defi earlier this year. Let’s look at what the legislation could potentially bring to the market.
Stablecoins Under Scrutiny?
According to a report from Bloomberg, the House bill takes aim at stablecoins and would “mandate a study on Terra-like tokens from Treasury” along with a bevy of federal financial bodies, including the Federal Reserve, the Office of the