U.S. House lawmakers are delaying consideration of a bipartisan bill to curb potential risks posed by so-called stablecoins, according to people familiar with the matter, pushing back a vote on the measure for at least several weeks, the Wall Street Journal reported. The potential deal would have marked the first significant step to apply tougher rules on the cryptocurrency industry, which developed with virtually no regulation. Biden administration officials and a bipartisan group of lawmakers worry that current laws don’t provide comprehensive standards for the new assets and have warned of potential risks to financial stability posed by stablecoins, a type of cryptocurrency intended to be pegged to the dollar or another national currency. Lawmakers working on the potential deal between House Financial Services Committee Chairwoman Maxine Waters (D-Calif.) and Patrick McHenry (R-N.C.), the top Republican on the panel, were unable to complete work on the draft bill ahead of a planned committee vote tentatively set for Wednesday. Lawmakers and their staff had worked through the weekend trying to hammer out remaining policy issues with the legislation, which top Biden administration officials have pushed for. As of Monday morning, however, the bill wasn’t finished and at least some core issues remained outstanding. Those issues include standards around so-called custodial wallets. Treasury officials pushed for wallet provisions that Republicans were uncomfortable with, the person said. Treasury officials have provided assistance with the drafting of the bill but haven’t yet endorsed it. That likely delays consideration of the package until at least September, when Congress is expected to return from its late-summer break.
