These stablecoins – digital ‘tokens’ generally backed by dollar reserves or assets from gold to other cryptocurrencies – have exploded during the Covid-19 pandemic.
As a result, the Presidential Task Force on Financial Markets -which includes the major regulators of the United States, including the Treasury and the Federal Reserve- It is targeting them as part of its biggest effort to gain control of cryptocurrencies.
The group is expected to publish a report detailing the risks and opportunities of stablecoins in the coming months.
In a message to the group seen by Reuters, he said: digital chamber of commerce, headquartered in Washington Retail-focused dollar-pegged stablecoins should not be subject to a new set of rules “just because new technology is being implemented.”
stablecoins “It is not on such a large scale that it merits a separate, mandatory regulatory regime,” he said. He noted, adding that it should be treated like other digital payment instruments that focus on retail, not an investment product.
Among the chamber’s members are Goldman Sachs and Citigroup banks, and crypto companies such as Circle, which issues the second largest stablecoin, USD Coin. Hong Kong Tether, which issues the largest stablecoin, is not part of the group.
The signatories say that stablecoins can revolutionize payments by avoiding Bitcoin’s volatility and offering the same speed and lower cost benefits. However, they are used more for cryptocurrency trading than payments, and their increasing volume is attracting the attention of financial regulators.
