Ether hit a six-month high on the passage of a US stablecoin bill

Ether hit a six-month high on the passage of a stablecoin bill by the US House of Representatives.

The bill, expected to be signed into law by US President Donald Trump, marks a watershed for the digital asset industry, which has long pushed lawmakers to create rules for digital assets, arguing that a clear framework could drive a wider usage of stablecoins and other crypto tokens.

Ether benefits from an increased usage of US dollar-pegged tokens known as stablecoins. Most stablecoins are issued and transacted on the underlying Ethereum blockchain, driving up demand for ether to pay for transaction fees.

Ether climbed to US$3,675.81 (HK$28,671.32), its highest since January 6, and was last up 3.05 percent at US$3,584.41, outperforming bitcoin, which eased 0.93 percent to US$118,286 after hitting a record high of US$123,153 this week.

REUTERS