Lummis-Gillibrand Payment Stablecoin Act regulation
Overview
The Lummis-Gillibrand Payment Stablecoin Act (S.4155) is bipartisan US legislation introduced on 17 April 2024 by Senators Cynthia Lummis (R-WY) and Kirsten Gillibrand (D-NY) in the 118th Congress. It proposed a regulatory framework for payment stablecoins that preserved the dual banking system, authorising state trust companies to issue up to $10 billion of stablecoins and permitting federal or state depository institutions to issue without that cap. The bill required one-to-one reserve backing, prohibited algorithmic stablecoins, and required issuers to comply with US anti-money laundering and sanctions rules. It was not enacted, but is widely regarded as a precursor to the stablecoin legislation that followed in the 119th Congress.
Within the DeFi Intel graph, Lummis-Gillibrand Payment Stablecoin Act connects to 2 tracked entities, most strongly to Cynthia Lummis, Kirsten Gillibrand.
Relations
Top connections in the DeFi Intel knowledge graph (confidence-weighted, 2 of 2 total).
| Relation | Connected entity | Confidence |
|---|---|---|
proposed_by | Cynthia Lummis | 94% |
proposed_by | Kirsten Gillibrand | 94% |
Frequently asked questions
Who introduced the Lummis-Gillibrand Payment Stablecoin Act and when?
Senators Cynthia Lummis and Kirsten Gillibrand introduced it on 17 April 2024 as S.4155.
What issuance limit did it set for state trust companies?
State trust companies could issue payment stablecoins up to $10 billion; depository institutions faced no such cap.
How did the bill treat algorithmic stablecoins?
It prohibited them, and required one-to-one reserve backing for permitted payment stablecoins.
Sources
Facts on this page were verified against the following sources.