Leaders of the House Financial Services Committee continue to negotiate the terms of a proposed bill to regulate cryptocurrency, even as the window to act draws increasingly narrow heading into the midterm elections.
According to Bloomberg, the latest draft legislation would ban algorithmic stablecoins like TerraUSD (UST) for two years, while regulatory agencies conduct a study of "endogenously collateralized" tokens.
"Endogenously" means something produced or synthesized within the organism or system. Before TerraUSD and Luna imploded in May, its creators relied on an algorithm to mint or burn Luna to keep the value of TerraUSD stable at $1.
Over $40 billion in value evaporated within days, and the collapse has become Exhibit A in the crypto critic's playbook, and has intensified the interest of lawmakers and regulators.
Prior versions of the bill required stablecoin issuers to maintain 1:1 liquid reserves for all stablecoins in circulation and would also limit the types of assets...
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INN caught up with cryptocurrency investment expert Dan Hoover to review the current landscape and where the market may be heading. The cryptocurrency investment marketplace has gone through severa...