The US government has argued that its regulators do not have adequate coordination mechanisms to address risks in the cryptocurrency sector in a timely manner.
US Government Accountability Office (GAO) by July 24 In the report published on at the legal point examined the way they were handled. In the report, important issues regarding the regulation of cryptocurrencies legal loopholes in the control mechanism when it is determined that there is coordination to the lack was also mentioned.
lack of coordination
Financial Services Committee Representatives Maxine Waters And Stephen Lynch Commissioned by the GAO, among existing federal regulators unsecured a crypto currency spot market about regulating comprehensive authority noted that there was no In addition, the report covers the risks that may arise from the sector. on time between regulators to respond adequate coordination mechanism since there is no At this point, it was underlined that it may be necessary to correct the deficiency.
stablecoin regulation
The report found that one of GAO’s biggest concerns was stablecoins. Report on regulation of stablecoins big gaps noted that. stablecoins reserve levels determination and reserve levels on public disclosure lack of standards And broken described as legislative structure by the GAO significant risks taken between.
As DeFi grows, its risk increases
And also decentralized finance (DeFi) the increase in the market size of applications to continue the risk it represents will grow reported. The report is subordinate to the Department of the Treasury. Financial Crime Fighting Network (FinCEN) regulators such as current legislation to these applications adaptation was recommended to work on it.
GAO, among them US Securities and Exchange Commission (SEC), Commodity Futures Trading Commission (CFTC) And Federal Deposit Insurance Corporation (FDIC) including 6 different on the regulator’s crypto sector risks jointly One coordination mechanism stated that it should be installed.
