US Treasury Open to Nonbanks Issuing Stablecoins

As Congress considers a path for nonbanks to be allowed to issue stablecoins, Nellie Liang, the U.S. Treasury Department’s undersecretary for domestic finance, says that’s fine with the agencies that once recommended issuers be regulated as banks. The President’s Working Group on Financial Markets, which recommended last year that stablecoins belong inside the regulated banking industry, didn’t mean to be overly rigid about how crypto firms might hit that mark, Liang said Monday at a Financial Services Forum event in Washington. "There’s some flexibility under that framework,” she told reporters. “It’s meant to be open. It was not meant to limit to current banks."