September 30, 2020

G20 leaders: stablecoins pose serious risks

G20 leaders: stablecoins pose serious risks

G20 finance executives agree global stablecoins spawn risks to public policy and regulation.

October 18 at the G20 international forum of politics andleaders of central banks from 19 countries and the European Union called on the IMF to study the macroeconomic consequences of popularizing stable coins, including exploring the risks to the monetary sovereignty of member countries.

Bank of Japan Governor Haruhiko Kuroda said the G20 summit began with a discussion on stable coins. He declared:

Some emerging economiesConcerned about the consequences of widespread adoption of stable coins provided by a huge user base. Nevertheless, this problem is relevant not only for such countries, since the adoption of stemcoins can have serious consequences for credit policy and the stability of the global financial system.

Recall that recently, the G7 task force released a report that also indicated that stemcoins like Facebook's Libra threaten the stability of the global financial system.

According to the materials cointelegraph.com