Svmuu News Delaware State Senator Spiros Mantzavinos and Representative Bill Bush have submitted the "Delaware Banking Modernization Act" (Senate Bill 16) and the "Delaware Payment Stablecoin Act" (Senate Bill 19). The stablecoin bill aims to establish a licensing framework for stablecoin issuers and digital asset service providers. It incorporates definitions from federal legislation such as the "GENIUS Act" and introduces requirements including reserve remedy mechanisms, mandatory redemption time limits, capital standards, and anti-money laundering obligations. If approved, the State Bank Commissioner will implement the relevant rules within a specified timeframe.
Delaware Governor Matt Meyer stated that the legislation aims to lower barriers to entry for financial services, enabling all residents to send, receive, and save money via the internet. The state has launched blockchain initiatives since 2016 to attract related businesses, but last year, some tech and crypto companies, including Coinbase, relocated out of the state.
Furthermore, both bills still need to undergo review by the Senate Banking Committee and full Senate debate. Legislators are also expected to submit the "Delaware Money Transmission and Virtual Currency Modernization Act" in the coming days, primarily focusing on consumer protection and standardizing licensing activities.