US Federal Reserve official Michael Barr said in his statements today that stablecoins should be legally regulated.
Michael Barr, stablecoins to financial stability And integrity of the payment system He said that regulation should be made to prevent harm.
Value according to Fed official A government-issued currency, such as the US dollar When a fixed asset is used simultaneously as a store of value and as a means of payment, “The central bank’s trust is borrowed” is happening. Barr said:
“The Federal Reserve requires that any stablecoin issuances occur within an appropriate, prudential supervisory framework to avoid a threat to financial stability or the integrity of the payment system.”
The central bank has become more interested in stablecoins and in August set some standards for banks carrying out activities related to stablecoins.
Speaking about the Fed’s central bank digital money (CBDC) plans, Barr said that the Federal Reserve can only implement this plan. “clear support from the executive branch and Congress to prepare legislation” He stated that he would implement it if necessary.