U.S. Senators Cynthia Lummis and Kirsten Gillibrand introduced a new stablecoin bill aiming to define the operation of digital tokens within the U.S. financial system. The bill mandates stricter requirements for stablecoin issuers, including maintaining one-to-one dollar reserves and not classifying the asset as a security. It aims to preserve the U.S. dollar's dominance and integrate consumer protections by banning algorithmically managed stablecoins. The legislation sets a $10 billion cap on stablecoin issuance for non-depository trusts, affecting large issuers like Circle, which exceeds this limit with $33 billion in USDC in circulation.