U.S. House Committee Advances Legislation Covering Stablecoins, Digital Assets, and More

The omnibus bill focuses on increased regulation of stablecoins, digital asset custody, ESG impacts and the repeal of the CFPB's controversial small business lending rules.

The House Financial Services Committee has approved seven pieces of legislation, marking a major overhaul of how the U.S. regulates digital assets, ESG impact and data collection for small business lending.

The approved Payments Stablecoin Clarity Act (HR 4766) will provide a regulatory roadmap for stablecoin issuers and incorporate important federal consumer protections. In terms of digital assets, the Keep Your Coin Act of 2023 (HR 4841) seeks to preserve consumers’ self-custodial rights in self-custodial wallets:

The committee also introduced the Guiding Uniform and Accountable Disclosure Requirements and Information Restrictions (GUARDRAIL) Act of 2023 (HR 4790), which seeks to amend SEC disclosure regulations. It plans to make non-material disclosure requirements public and promote the creation of a public company advisory committee to strengthen investor protection and market fairness.

The Protecting Americans' Retirement Savings from Political Influence Act (HR 4767) seeks to refocus the shareholder proposal and proxy voting process on business growth and away from partisan politics.

The approved U.S. Financial Institutions Regulators Sovereignty and Transparency Act (HR 4823) proposes to increase the transparency of federal banking regulators’ interactions with international organizations and emphasize their political independence:

"Its goal is to limit the SEC's control in this area and emphasize the role of state regulations in governing shareholder proposals."

The committee also approved the Corporate Override of Activists Act (HR 4655), limiting the SEC's power over shareholder proposals and promoting the importance of state regulation in this area.

Finally, a joint resolution (HJ Resolution 66) seeks to repeal the CFPB's mandatory collection of demographic data on small business loan applicants.

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