I’m sure many are aware of this, but for those who aren’t following US policy developments closely, Rep Don Beyer has proposed a bill which would regulate crypto, which has a heavy focus on stablecoin regulation:
Ive already broached part of this topic on another post (Mapping out policy challenges and opportunities for Maker - #39 by Quiet) however I thought the proposed stablecoin regulation merited it’s own post.
TLDR, Beyer’s legislation suggests the outright illegalization of fiat pegged or collateralized stable issuance, and stablecoin use except for stablecoins which meet regulatory criterion, and which are registered by their issuer (something a DAO likely cannot do in current frameworks). As I understand, this could chastise not just parties considered as issuers of DAI, but CEXs and Firms, which list DAI, or use it in their own processes.
Right now the regulatory attention on stablecoins has been primarily given to centralized issuers like USDT. Even if the worst case of DAI being delisted or blacklisted doesn’t occur, these regulations will also make things riskier for these centralized stable collateral types that DAI is dependent on.
This seems like a potential existential threat to the protocol. Even if the language written here is revised or this bill goes nowhere, this may be the start of a monumental change of footing of policymakers on the issue, from cautious application of pre existing laws and vague statements, to active regulation and codification of restrictions on stables. What are other community members thinking in regards to this?