- Paxos CEO calls for bipartisan regulatory action on stablecoins to maintain the U.S.’s global financial leadership amid rising international competition.
- Stablecoins could foster financial inclusion in the U.S., providing accessible digital payments for millions currently outside the banking system.
- With regulatory clarity, the U.S. can attract talent and innovation, while restrictive policies may drive blockchain businesses overseas.
Paxos CEO Charles Cascarilla has issued a public call for the United States to establish clear regulations on stablecoins, warning that failing to do so could erode America’s influence in the global finance arena. Addressing Vice President Kamala Harris and former President Donald Trump in an open letter, Cascarilla emphasized the need for bipartisan action to safeguard the U.S.’s competitive standing against international financial hubs like Singapore and the UAE, where stablecoin frameworks are already attracting business and investment.
A Solution to Broaden Financial Access
Cascarilla noted that blockchain technology, particularly through stablecoins backed by the U.S. dollar, holds significant potential to improve financial inclusion in America. With millions in the U.S. lacking access to traditional banking, stablecoins could offer a digital means of managing and moving money, allowing more individuals to participate in the economy through mobile devices. He describes stablecoins as a promising evolution for the payment system, one that could securely expand the reach of the U.S. dollar, especially in underserved communities.
Global Rivals Are Advancing in Blockchain
Cascarilla outlined how regulatory hesitancy in the U.S. has created hurdles for blockchain innovation, driving companies to consider moving operations abroad. With nations such as Singapore and the UAE supporting digital assets through clear regulatory policies, he highlighted the growing risk of the U.S. losing top talent, investment, and technological leadership.
He emphasized that with streamlined, supportive regulation, the U.S. could instead attract blockchain innovators and secure its position as a financial leader. However, if regulatory restrictions continue, American firms might opt for jurisdictions with more welcoming policies, leading to potential losses in both capital and economic influence.
The CEO advocated for a balanced approach to digital asset policy, urging the incoming administration to prioritize stablecoin regulation to ensure America’s lead in finance. By setting a fair and transparent framework, Cascarilla believes the U.S. can strengthen its global standing, adapt to shifting financial dynamics, and sustain economic influence.
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