#USStablecoinBill

The U.S. Stablecoin Bill, formally known as the **"Clarity for Payment Stablecoins Act,"** aims to establish a federal regulatory framework for stablecoins. Proposed in 2023, the bill requires issuers to maintain 1:1 reserves and obtain federal or state approval. It prohibits unbacked algorithmic stablecoins and mandates transparency in asset holdings.

Key provisions include:

- **Federal oversight** by the Treasury and Federal Reserve.

- **State and federal licensing** options for issuers.

- **Full backing** by cash or high-quality liquid assets.

- **Consumer protections**, including redemption rights.

The bill seeks to balance innovation with financial stability, addressing risks like runs on unstable coins. Critics argue it may stifle crypto innovation, while supporters believe it ensures safer adoption. If passed, it could shape global stablecoin regulation.