MoonPay Chief Executive Warns Congress: Proposed Stablecoin Legislation Could Lead to a Government-Backed Monopoly

In a formal communication addressed to U.S. lawmakers, the CEO of MoonPay expressed significant concerns regarding the potential consequences of the pending stablecoin regulatory framework. The executive cautioned that the bill, as currently drafted, may inadvertently establish a de facto national monopoly in the digital currency sector, stifling competition and innovation. This development comes amid broader discussions on how to balance consumer protection with the need to foster growth in the cryptocurrency industry. The letter highlights the importance of creating a level playing field for all market participants while ensuring the stability and security of the financial system.

Centralizing Stablecoin Regs Could Stifle Competition

Soto-Wright’s message echoes a broader concern within the crypto and fintech industries—that centralizing stablecoin regulation at the federal level could stifle competition and innovation.

He argues that the dual state-federal regulatory structure that governs money transmitters has proven effective and should serve as a model for stablecoin oversight.

As Congress weighs the final language of the legislation, the stance of MoonPay adds prominent industry voice to the push for inclusive and balanced regulation—one that protects consumers while fostering a thriving, competitive digital asset economy.