June 25, 2024

French Central Bank calls for standardization of cryptocurrency regulation

Denis Beau, deputy governor of the Bank of France, believes that governments of various countriesIt is necessary to agree on standards in the regulation of cryptocurrencies.

“There is a need for a unified approach toprevent differences in regulatory policies and provide companies with the same actions, risks and rules, ”Bo said at the forum of monetary and financial institutions held in London.

Also, the representative of the Central Bank of France noted thatFacebook’s Libra cryptocurrency project can “achieve significant strength in the financial market, which means it poses risks to the security and stability of the financial system.”

However, the Deputy Governor of the Bank of FranceHe did not provide any solutions to this problem, and only stated that it was necessary to develop global regulation. He also believes that central banks of different countries should experiment with their own cryptocurrencies.

Bo noted that now the global financial systemrelies on expensive and often problematic money transfer mechanisms. Distributed registry technology can help with this, but existing tokens are not suitable for this role due to volatility, lack of state support and trust.

“They can submit for our billingsignificant risks that, if not eliminated, can lead to the emergence of new sources of fragmentation, instability and fraud, ”concluded the Deputy Governor of the Bank of France.

Recently vice president of the European Commission andThe Commissioner for Euro and Social Dialogue Valdis Dombrovskis said that the organization plans to introduce new rules for regulating cryptocurrencies.