Bowman Proposes New Stablecoin Regulations for Enhanced Financial Safety

Federal Reserve Governor Michelle Bowman has unveiled a proposal for new stablecoin regulations, aiming to foster responsible innovation while ensuring the stability of the financial system. The proposed regulations seek to align popular stablecoins like USDC and USDT with traditional banking standards through capital and liquidity requirements. This move seeks to create a fairer and safer financial landscape by addressing potential systemic risks posed by digital assets. Bowman will address the House Financial Services Committee, outlining these plans to ensure fair competition in the evolving financial market.