Federal Reserve's Bowman: Ensure the banking system can adequately support digital asset activities and responsibly encourage innovation

Mars Finance reports that the hearing on banking regulators by the U.S. Senate Banking Committee has just begun, according to a post by The Block journalist Sarah Wynn. Federal Reserve Vice Chair for Supervision Michelle Bowman stated in her prepared testimony that the central bank is committed to implementing the Stablecoin Act GENIUS and plans to “provide clarity on the handling of digital assets to ensure the banking system can effectively support digital asset activities.” Bowman said, “As regulators, my responsibility is to encourage innovation responsibly. We must continuously improve our ability to oversee the potential risks that innovation may pose to safety and soundness.”