Stablecoin Legislation Expected in the U.S., Says Circle’s Allaire

Circle’s CEO, Jeremy Allaire, remains optimistic about the United States introducing a stablecoin law within this year, 2024. During a recent interview with CNBC on January 15, Allaire discussed the growing momentum in this area and the likelihood of seeing new legislation soon.

Allaire highlighted the global trend of regulating digital dollar currencies and expressed his belief that the U.S. is eager to establish its leadership in this space. He emphasized the importance of implementing appropriate consumer protections in this emerging sector. As the CEO of the company behind the USD Coin (USDC) stablecoin, Allaire’s insights reflect both industry trends and regulatory developments.

Furthermore, Dante Disparte, Circle’s chief strategy officer and head of global public policy, also conveyed an upbeat outlook in his comments to CNBC. Disparte underscored the bipartisan nature of the stablecoin policy discussions, predicting potential progress early in the new year.

Among the notable legislative efforts is the Clarity for Payment Stablecoins Act, introduced by U.S. Representative Patrick McHenry. This bill, currently under review by the House and Senate, seeks to establish a regulatory framework for stablecoin issuers akin to that for traditional financial institutions.

Additionally, the Stablecoin Transparency Act, introduced into Congress on March 31, 2022, by Senator Bill Hagerty, represents another significant legislative initiative in the stablecoin domain.

In December, Allaire discussed the immense potential of stablecoins in another CNBC interview, describing them as “digital dollars” that could be used as a flexible means of trade and a reliable store of value in the virtual world.