#USStablecoinBill USStablecoinBill – Key Takeaways

The Senate is reviewing a new bipartisan bill called the Lummis-Gillibrand Payment Stablecoin Act. It’s designed to bring clear rules to stablecoins by requiring full asset backing (1:1), banning algorithmic stablecoins, and making sure consumer protections are in place — like keeping reserves separate and being transparent about them.

The bill would let both federal and state-regulated entities issue stablecoins, but it limits state trust companies to issuing no more than $10 billion.

While it originally had support from both sides, some Senate Democrats are now backing off due to political friction and concerns about possible conflicts of interest tied to crypto investments linked to the Trump family. That’s made the bill’s path forward a bit shaky.