Bank of America: In on stablecoins?

Brian Moinn, CEO of Bank Of America (BAC), said on Wednesday that the country’s second largest bank will look at Stablecoins after the major encryption legislation has passed.

“We are working with this industry, we work individually. We have this good concept … but the problem before it was not clear that we were allowed to do this under banking regulations, and there was a lot of mystery about it,” Mounehanan said at the Morgan Stanley conference in New York.

Unlike Bitcoin and other digital assets, Stablecoin prices are not supposed to fluctuate. Instead, they are linked to assets such as the US dollar and are wider as a means of payment.

As far as it goes back to February, Mounehan said that his bank will plan to launch a waiting encoding legislation. What is not highlighted before is that its bank will wait until both legislation passes before moving forward.

“If they get a genius action, stable verb, or anything like this, they are passed, and then they get a piece of market infrastructure – which will allow us to know if there is already a work suggestion” in Stablecoins, Mounehan added.

Meanwhile, the investment services of the Bank of America are expected to decrease by more than 20 % in the second quarter compared to last year, Moinhan said. Trading revenues are preparing to increase “number one to average number one” for the same period.

In recent days, Wall Street has embraced the capabilities that Stablecoins’s encryption may bring to digital payments and broader financing.

The rules for determining the legislation of how the holding companies for banks and other companies have been re -issued Stablecoins, known as the Genius law, in the Senate this week. It is expected to pass the final early next week, according to the Senate Assistant.

Both Senate Democrats and the Republic called for at least seven noticeable amendments to the draft law, including one that prevents the president and his family from benefiting from the Stablecoin project while taking office. Another, which is proposed by Senator John Heikinlobol (D-COLO), will add a language prohibiting the benefits paid to Stablecoin clients as a way to protect the competitive position of the country’s community banks.

The majority leader of the Senate prevented the Senate from voting on these amendments, according to the assistant.

The other larger and recently presented recently from encryption legislation, known as the Clarity Law, sets rules for the general regulation of the market for digital assets and has not yet reached the house hall.

As part of a broader executive and promised the campaign to make the United States “the planet’s encryption capital”, President Trump previously pointed out the desire to approve both legislation quickly.