According to BlockBeats, a report from TD Cowen highlights that U.S. Securities and Exchange Commission (SEC) Commissioner Caroline Crenshaw's opposition to classifying stablecoins as "non-securities" could pose a new challenge for stablecoin legislation. Crenshaw criticized the SEC for underestimating the risks associated with stablecoins, stating that the recent declaration by the SEC, which claimed that stablecoins backed by reserves and easily redeemable do not constitute securities, is flawed both legally and factually. Crenshaw expressed concerns that intermediaries might not redeem stablecoins at a 1:1 ratio with the U.S. dollar, posing risks to investors. Although different versions of stablecoin regulatory drafts have been advanced in both houses of Congress, the internal disagreements within the SEC, particularly Crenshaw's stance, could affect legislative consensus, especially in the Senate where Democratic support is crucial. Additionally, Maxine Waters, the Democratic leader of the House Financial Services Committee, voiced concerns over former President Trump's involvement in cryptocurrency policy. She warned that the legislation might pave the way for entrepreneurs like Elon Musk to issue stablecoins.

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