Chairman Hill: A Properly Regulated Stablecoin Market Can Strengthen the U.S. Dollar’s Dominance
Washington,
March 11, 2025 -
Today, the House Financial Services Committee, led by Chairman French Hill (AR-02), is holding a hearing to explore a federal framework for payment stablecoins, including examining the updated STABLE Act bill text, as well as the consequences of a Central Bank Digital Currency (CBDC) in the United States.
Watch Chairman Hill’s opening remarks here.
Read Chairman Hill’s opening remarks as prepared for delivery:
"Good morning and welcome to today’s hearing entitled, 'Navigating the Digital Payments Ecosystem: Examining a Federal Framework for Payment Stablecoins and Consequences of a U.S. Central Bank Digital Currency.'
"Global payment systems are leveraging technology to modernize legacy infrastructure, drive innovation, and expand access while lowering costs.
"The evolution of payment stablecoins and their increasing adoption beyond the digital asset ecosystem reflect broader modernization efforts in the U.S. and global payments landscape.
"Every day, there are billions of dollars in stablecoin transactions, reducing friction in cross-border payments, streamlining commercial transactions, and giving more communities broader access to digital financial tools.
"Since 2022, Committee Republicans have worked to establish a legislative framework that strengthens their potential to become a cornerstone of the modern payments system.
"Last Congress, this Committee passed the Clarity for Payment Stablecoins Act of 2023.
"At the start of the 119th Congress, we built upon this foundation in coordination with the Senate Banking Committee.
"The House product, the STABLE Act, which we noticed as part of today’s hearing, reflects these key themes.
"Since its initial notice at Digital Assets Subcommittee Chair Bryan Steil’s hearing last month, we have incorporated updates to the discussion draft based on the extensive feedback we received.
"These refinements serve to strengthen the operational standards for payment stablecoin issuers, as well as clarify the supervision and enforcement authorities of the state and federal regulators that will oversee these entities.
"The STABLE Act also makes sure that BSA/AML compliance and oversight are a critical part of this framework.
"The Committee is grateful for the engagement and feedback we have received on the STABLE Act, and we hope it will continue as we further iterate and strengthen this bill.
"A properly regulated stablecoin market can strengthen the U.S. dollar’s dominance, modernize our payments infrastructure, and promote financial access without government overreach.
"It is essential that we are deliberate and get this job done and done right.
"Unfortunately, there is a competing vision for the future of digital money—one that puts the government at the center of every transaction: central bank digital currencies, or CBDCs.
"A government-controlled digital dollar would put the Federal Reserve in direct competition with the private sector and undermine the very progress that stablecoins are making.
"Chair Dan Meuser’s Oversight and Investigations Subcommittee has explored troubling cases of the debanking of politically favored industries.
"Unlike stablecoins, which operate in a competitive market, a CBDC would concentrate financial power within the federal government, restrict consumer choice and undermine the innovation that has made U.S. financial markets the strongest in the world.
"A CBDC would also suppress competition, jeopardize financial privacy, and weaken the role of the U.S. banking system.
"I am grateful to my colleague, Republican Whip, Tom Emmer, for leading the charge to prohibit a U.S. CBDC, and I thank him for the work he has done to get his Anti-CBDC Surveillance State Act re-introduced this Congress and noticed to this hearing.
"Before I close, I want to emphasize that, in addition to payment stablecoins, this Committee has continued its efforts to build on the work we began last Congress to establish a comprehensive framework for digital asset market structure.
"We are moving full steam ahead to strengthen and expand the pro-innovation agenda.
"I look forward to today’s discussion on payment stablecoins and the key considerations we should take into account as this Committee legislates to ensure we keep the U.S. at the forefront of financial innovation.
"Thank you to our witnesses for being here today and for your testimony."
