United States of America: Introduced Bill to provide for effective regulation of payment stablecoins, and for other purposes (SB 4155) including business registration requirement

On 17 April 2024, a Bill to provide for effective regulation of payment stablecoins, and for other purposes (SB 4155) was introduced into the United States Senate. Under the Bill, depository institutions and non-depository trust companies would be required to obtain authorisation from the Board of Governors of the Federal Reserve System or the relevant state banking supervisors before issuing payment stablecoins. Issuers would be required to comply with all applicable financial regulations, including those related to anti-money laundering (AML) and counter-terrorism financing (CTF). Payment stablecoin issuers would be subject to regular examinations by regulators, including audits of financial health and operational practices.