On July 19, 2021, the President’s Working Group on Financial Markets (PWG) met to discuss stablecoins – including their recent rapid growth, potential uses as a form of payment, and potential risks to end-users, the financial system, and U.S. national security.

At the meeting Treasury Secretary Yellen “underscored the need to act quickly to ensure there is an appropriate U.S. regulatory framework in place.”

Staff from the Treasury Department also presented to the PWG about preparing a report on stablecoins, which would cover, among other things, potential benefits and risks, the current U.S. regulatory framework, and the development of recommendations to address any regulatory gaps.  The PWG expects to issue recommendations in the coming months.

Attendees at the meeting included:

  • Janet L. Yellen, Secretary of the Treasury
  • Jerome Powell, Chair, Board of Governors of the Federal Reserve System
  • Gary Gensler, Chair, Securities and Exchange Commission
  • Rostin Behnam, Acting Chairman, Commodity Futures Trading Commission
  • Jelena McWilliams, Chairman, Federal Deposit Insurance Corporation
  • Michael J. Hsu, Acting Comptroller of the Currency
  • Randal Quarles, Vice Chair for Supervision, Board of Governors of the Federal Reserve System
  • J. Nellie Liang, Under Secretary for Domestic Finance, U.S. Department of the Treasury

A link to the readout of the meeting is here.

For more information regarding digital currencies, contact our team and see a previous post below.

Treasury Secretary Janet Yellen to Hold a Meeting of the President’s Working Group on Financial Markets (PWG) to Discuss Stablecoins | International Trade Law (cmtradelaw.com)

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