Hearing Entitled: Understanding Stablecoins’ Role in Payments and the Need for Legislation
Subcommittee on Digital Assets, Financial Technology and Inclusion
Live - starts in a few minutes from posting.
Or follow past hearings at https://financialservices.house.gov/
Finally something interesting.
The NYDFS does not get tangled up in whether a crypto coin is a security or commodity or anything else - it is a digital asset.
This is not dissimilar to what HK has recently declared that cryptos are "property" and then let the regulators clarify the type of property.
This hearing seems to have gone down a cul de sac... and never come out again.
I still think issuers of USD-coins should look at the Eurodollar market, which is out of reach of the SEC - and also, in theory, out of reach of US citizens - yet still "helps" the USD currency.
I'm not an American, so have no partisan axe to grind, but... do all the Dems act like extras in Idiocracy? Is the whole tribe like that?
One deep problem with stablecoins is that, even when collateralised, if they are used within binary constant-product AMMs then their price can become (temporarily) unstable.
I also dislike the term "stable"coins, as they are NOT stable, they are pegged to another asset that is itself variable. Dumb name that demands a confidence that is unwarranted.
The reason Fed Notes are called NOTES is precisely because there is nothing backing them - there are things supporting them, like violence and the law.
Amusing that so-called stablecoins are supposed to be backed, so are not stablenotes, so that all IOUs are fully covered.
Algo-coins are far more interesting and far closer to fractional reserve banking. ;-)
precisely why algo-coins banned by the banksters - too close to the truth - also, most algos have been crap - not sure if over collateralised coins like DJED are truly more stable, or merely harder to tank.
What crypto needs is for the government to get out of the way.