The final confrontation over US stablecoin legislation - which manifested in the withdrawal of nine Democratic senators, supporters of cryptocurrencies, of their sudden support and pressure on Senators Schumer and Warren - highlights how ongoing regulatory drift undermines innovation and trust in this space. Practically, uncertainty is likely to drive venture investors and banks to exercise caution: for example, the CEO of Bank of America recently indicated that he would not 'move toward' stablecoins until clear regulatory guidelines are established. Industry analysts warn that without strict rules, consumers will feel 'unprotected and vulnerable', and indeed, 'regulatory uncertainty' has hindered the adoption of stablecoins so far. In contrast, observers point out that clear rules would 'reduce uncertainty, protect consumers, and pave the way for widespread adoption of stablecoins' - benefits that are now at risk due to the current stalemate. Globally, this troubled US situation threatens to drive capital to more welcoming markets: S&P Global notes that jurisdictions like the European Union, Hong Kong, and Singapore are already moving forward with comprehensive frameworks, while the United States continues its 'deliberations'.