US Fed begins quantitative tightening, Japan restricts stablecoin issuance an...
Coming every Saturday, Hodlers Digest will help you track every single important news story that happened this week. The best (and worst) quotes, adoption and regulation highlights, leading coins, predictions and much more a week on Cointelegraph in one link.Top Stories This Week Fed money printer goes into reverse: What does it mean for crypto?Over the last two years or so, the United States Federal Reserve has flooded the financial system with excess liquidity benefiting stocks, crypto and other markets as well. Now, the Fed is going in the opposite direction in order to combat....
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Japan’s top financial regulator, the Financial Services Agency (FSA), is reportedly planning to propose legislation to restrict stablecoin issuance to banks and wire transfer companies. Crypto service providers involved in stablecoin transactions, including wallets, will also be brought under the financial regulator’s oversight.
Japan to Tighten Stablecoin Regulation
Japan’s Financial Services Agency (FSA) is planning to tighten the regulation of stablecoins by imposing strict rules on their issuers, Nikkei reported Monday, stating:
The Financial....
Quantitative Easing and Bitcoin. The European Central Bank has recently announced a 1.1 trillion Euro sovereign bond purchasing program. This action in broadly referred to as Quantitative Easing. It is a monetary policy brought into existence by the Bank of Japan on March 19th, 2001. The first concept to understand in relation to Quantitative Easing is that no expert or policy-maker truly knows how this monetary experiment ends because it is a historically unprecedented action. A 15 year existence is a negligible amount of time in the history of human commerce. With that in mind, while....
The Japanese government is rushing to enforce new stablecoin laws in the aftermath of the Terra collapse. Japan is moving forward with legislation regarding the issuance of stablecoins i.e. digital assets with their value pegged to fiat currencies or stabilized by an algorithm. On June 3, Japan’s parliament passed a bill to ban stablecoin issuance by non-banking institutions, local news agency Nikkei reported. The bill reportedly stipulates that the issuance of stablecoins is limited to licensed banks, registered money transfer agents and trust companies in Japan.The new legislation also....
What will happen to the crypto markets when quantitative tightening takes full effect and the Federal Reserve shelves the money printer? The Federal Reserve is starting the process of paring back its $9 trillion balance sheet that ballooned in recent years in a move called Quantitative Tightening (QT). Analysts from a crypto exchange and financial investment firm have conflicting opinions about whether QT, starting on June 1, will put an end to a decade of unprecedented growth across crypto markets.The worst part about this is that I would imagine ~80% of Americans have no idea what....
The parliament of Japan has approved a draft law tailored to regulate stablecoins in the country and protect investors. The new legislation is among the first to be introduced after the recent collapse of the algorithmic stablecoin terrausd.
Law on Stablecoins Approved in Japan in Aftermath of UST Collapse
Lawmakers in Japan have passed a bill designed to determine the legal status of stablecoins. The authors of the legislation have effectively defined these cryptocurrencies as digital money, Bloomberg reported following the vote on Friday.
With the new law, Japan....