Stalling Stablecoin Bill Raises Doubts About U.S. Crypto Regulatory Progress

A proposed stablecoin bill, intended as a moderate step towards comprehensive digital asset regulation in the U.S., is facing uncertainty in the Senate. Attorney John Deaton warns that its failure to advance could delay regulatory action until after the upcoming midterm elections, or even longer, due to the razor-thin House majority and looming electoral shifts. He argues that despite being designed to appease banking interests, the bill offers limited benefits for retail investors, as it bars stablecoin holders from earning interest, a move seen by some as a tactic to ensure established financial institutions remain comfortable with the new regulations.