FSB releases recommendations to regulate 'global stablecoins' such as Libra
The Financial Stability Board has warned that global stablecoins could pose systemic risks to the monetary systems of nation-states. The G20’s financial watchdog, the Financial Stability Board (FSB), has published regulatory recommendations opposing the trans-national ambitions of “global stablecoins,” such as Facebook’s Libra project.The FSB’s report offers regulatory recommendations to G20 member states and the broader international community intended to prevent stablecoin projects from using opportunities for "regulatory arbitrage" and becoming embedded within the financial structures....
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The need to regulate global stablecoins like Libra doesn't mean authorities can't embrace innovation, according to according to a BIS working paper.
The recent controversy surrounding the memecoin Libra (LIBRA) has sparked significant global attention, particularly following revelations about its alleged ties to prominent political figures and “questionable business practices.” According to reports from The Big Whale, the team behind Libra was allegedly developing a parallel memecoin project in Nigeria and had established contact with the Nigerian […]
The British Treasury Department has affirmed its commitment to regulate stablecoins after the collapse of terrausd (UST) and terra (LUNA). “This will create the conditions for issuers and service providers to operate and grow in the U.K., whilst ensuring financial stability and high regulatory standards,” said an HM Treasury spokesperson.
Regulation of Stablecoins in the UK
HM Treasury, the U.K. Treasury Department, is moving forward with plans to regulate payment stablecoins despite a crypto market meltdown last week, The Telegraph reported Saturday.
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After proposing automated ways to monitor global stablecoins like Libra, a new report from BIS argues that a better solution may ultimately be central bank digital currencies. Facebook’s proposal for its digital currency, Libra, was a wake-up call for international regulatory agencies, finance ministries and central bankers. All these actors recognized that the company’s reach across its three platforms had the potential to accelerate adoption of a global stablecoin to an unprecedented extent.In a new paper from the Bank of International Settlements, three analysts have proposed that the....
The Libra Association has made a key hire in its pursuit of a new cryptocurrency and payments system. The Libra Association, which manages Facebook’s quiet cryptocurrency project, has appointed a general counsel to oversee the development of its forthcoming payment system. In an official press release, the Libra Association Wednesday introduced Saumya Bhavsar as the new general counsel of Libra Networks, the entity charged with operating the blockchain-based payment system. Bhavsar comes with two decades of experience in the financial services industry serving in various legal, regulatory....