June 18, 2024

G-7 will not allow the launch of global stablecoins without proper control

G-7 will not allow the launch of global stablecoins without proper control

The G-7 working group report said that the presenterscountries of the world will not allow the launch of global stablecoins, such as Libra Facebook, without addressing control issues and risk minimization mechanisms for the financial system.

On October 18, the document was sent to ministersfinance of the G7 countries and governors of central banks. In it, the working group states that none of these projects should begin to operate until proper regulatory mechanisms are developed to solve legal, regulatory and supervisory problemsand risks.

According to participants, the first wave of cryptocurrencies is notcould become a reliable and attractive means of payment and store of value. However, stablecoins can better perform these functions and contribute to the development of global braided systems by making them faster, cheaper and more accessible.

The report also describes potential problems andrisks in the field of state policy, regulation, legal certainty, AML / CFT, compliance with laws and tax requirements. In addition, the working group believes that with the global use of stablecoins, they can threaten global financial stability and the monetary system.

Such conclusions coincide with the position of the FATF, which is already developing a system for global monitoring of cryptocurrency operations.