One of the factors a regulator would have to consider is “The ability of the applicant to maintain reserves backing its payment stablecoins outstanding on an at least one-to-one basis, with reserves comprising of – (i) United States coins and currency (including Federal Reserve notes and circulating notes of Federal Reserve banks and national banks); (ii) Treasury bills with a maturity of 90 days or less; (iii) repurchase agreements with a maturity of 7 days or less that are backed by Treasury bills with a maturity of 90 days or less; or (iv) central bank reserve deposits.”

Things get really interesting on page 64, section 106, which calls for a two-year moratorium on “endogenously collateralized stablecoins” that aren’t already in existence, referring to stablecoins that are backed by other digital assets or use some other mechanism to maintain their value.