According to BlockBeats, on October 11, U.S. Senator Bill Hagerty released a draft legislation discussion draft aimed at creating a regulatory framework for stablecoins. This is very similar to the work being done in the House of Representatives.

Hagerty said the draft provides much-needed regulatory clarity. The draft is very close to the House of Representatives’ (Payments Stablecoin Clarity Act).

The draft would divide federal regulation between the Federal Reserve’s supervision of banks and the Office of the Comptroller of the Currency’s supervision of nonbanks. Issuers above the $10 billion threshold could be exempted from federal regulation.

The draft also includes maintaining foreign exchange reserves denominated in US dollars on a one-to-one basis.