WASHINGTON—The Biden administration on Monday took the first significant step to impose banklike oversight on the cryptocurrency companies involved in the issuance of stablecoins, outlining a process that could shape the future of that digital money.
A Treasury-led panel recommended that Congress impose a new regulatory framework around stablecoins—digital currencies pegged to national currencies like the U.S. dollar—and limit the issuance of such digital assets to banks. The legislative request is a tall order given both chambers of Congress are narrowly divided.
