YEREVAN (CoinChapter.com) — MoonPay CEO Ivan Soto-Wright asked U.S. lawmakers to keep state regulators involved in stablecoin regulation. In an April 18 post on X, Soto-Wright said Congress should “keep state-regulated issuers in the game.” He referred to two active bills: the GENIUS Act in the Senate and the STABLE Act in the House.
Soto-Wright said state regulators have given the cryptocurrency industry “regulatory clarity and supervision” for years. He called for states that meet the requirements under the bills to remain equal to federal regulators. In his words,
“It is essential to preserve viable state pathways for PSIs [permitted stablecoin issuers].”
He shared a letter dated April 17 addressed to congressional leaders. The letter said the GENIUS Act gives the Federal Reserve full authority over all state-level permitted stablecoin issuers. Soto-Wright said this “stacks the deck” against state regulators.
STABLE Act Recognizes State-Level Issuers
The STABLE Act includes a section that allows “state qualified” permitted stablecoin issuers. This means that under some conditions, companies can operate under state oversight. The GENIUS Act, however, favors full control by federal regulators, mainly the Federal Reserve.
Congress is now reviewing both bills. The Senate Banking Committee and the House Financial Services Committee passed the proposals in March and April. These votes moved the bills to the next stage for a full vote in both chambers.
The Conference of State Bank Supervisors (CSBS) also supported state authority. In an April 1 letter to the House Financial Services Committee, CSBS said state agencies must keep their oversight powers. Soto-Wright agreed with this view, saying that state regulators have taken the lead in the absence of federal rules.
Trump-Backed Stablecoin Raises Questions
A separate stablecoin, USD1, backed by President Donald Trump’s family, adds more attention to the topic. World Liberty Financial launched the stablecoin project in September 2024. As of March 24, 2025, the USD1 stablecoin was not tradable.
According to the company, World Liberty Financial raised $600 million. Investors include Tron founder Justin Sun, DWF Labs, Oddiyana Ventures, and Web3Port. The project is under review due to concerns over conflicts of interest, as the Trump family is involved in stablecoin-related lawmaking.
No legal actions have been announced against the USD1 project. Still, the connection between the administration and stablecoin regulation has become a subject of public and legislative focus.
MoonPay Wants Fair Rules for All Permitted Stablecoin Issuers
Soto-Wright’s letter said that any new laws should treat state and federal regulators equally. He warned that giving the Federal Reserve sole power could remove state-level paths for permitted stablecoin issuers.
Under the GENIUS Act, the Federal Reserve would become the main regulator of all stablecoin issuers, including those already approved by state authorities. In contrast, the STABLE Act allows “state qualified” issuers to keep operating under state supervision.
The bills are still under discussion. Industry leaders and public officials continue to submit letters and comments. Soto-Wright asked lawmakers to avoid removing state-level options when creating stablecoin regulation.
