Fed Governor Bowman: States and the federal government need to cooperate in the stablecoin space

Fed Governor Michelle Bowman is urging state and federal partnerships to regulate stablecoins while lawmakers work on bills. Asked Wednesday at the Digital Chamber’s DC Blockchain summit what role the states and the federal government should play in addressing stablecoin issues, Bowman said states are more open to discussions about expansion in this area, “The important thing for me is to build partnerships.” “U.S. coins come with risks such as bank runs, which may require us to provide protections for the dollar,” Bowman said. So from the Fed’s perspective, it’s important that we have the ability to engage and negotiate any framework that ultimately emerges, whether it’s the current bill or other frameworks that emerge with the development of stablecoins in the U.S., the Fed should have a seat at the table in the negotiation process. ”