The US government is studying regulation for stable coins
It became known of a meeting of the "President working group" (PWG), the working group of the US government of the highest level on economic matters, in which Yellen, secretary to the treasury, also participates. This time the group dealt with a very particular topic, the Stable Coins, and above all Tether and Diem, the virtual currency that should be launched by Facebook.
Let 's see what this working group says :
Treasury Secretary Janet L. Yellen has convened the President's Working Group on Financial Markets (PWG), joined by the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation, to discuss stablecoins.
During the meeting, attendees discussed the rapid growth of stablecoins, the potential uses of stablecoins as a means of payment, and potential risks to end users, the financial system and national security.
The Secretary stressed the need to act quickly to ensure that there is an adequate US regulatory framework in place.
The group also heard a presentation from Treasury staff on preparing a report on stablecoins, which will discuss their potential benefits and risks, the current U.S. regulatory framework, and developing recommendations to address any regulatory gaps.
The PWG plans to issue recommendations in the coming months.
Then the stable coins return to the center of the crosshairs. On the one hand there is the fear, for Tether, that it may carry out an unauthorized banking activity, above all because it holds a huge amount of "Commercial paper", commercial discount securities. Owning this type of business is usually tied to the banking discount business. In the second case, however, the danger for Diem derives from the enormous number of potential customers that this instrument could have, leading to distort the money markets.
In a couple of months, the PWG will likely issue its own regulatory proposal.
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The article The US government is studying a regulation for stable coins comes from ScenariEconomici.it .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/il-governo-usa-sta-studiando-una-regolamentazione-per-le-stable-coin/ on Wed, 28 Jul 2021 16:51:03 +0000.