Clarity for Payment Stablecoins Act of 2023

The Clarity for Payment Stablecoins Act of 2023 establishes a regulatory framework for payment stablecoins (digital assets designed to maintain a stable value relative to national currency) in the United States. It creates a new category of "permitted payment stablecoin issuers," including subsidiaries of banks, nonbank entities approved by federal regulators, and state-licensed entities. The bill requires these issuers to maintain 1:1 reserves backed by specific assets like U.S. currency and Treasury bills, publicly disclose their reserve composition monthly, and undergo regular audits. It also clarifies that payment stablecoins are not securities or commodities and includes a 2-year moratorium on a specific type of stablecoin called "endogenously collateralized stablecoins."