June 25, 2024

G20 leaders: stablecoins pose serious risks

G20 leaders: stablecoins pose serious risks

G20 financial leaders agree that global stablecoins are generating a number ofrisks for 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.

Let's remember that the G7 task force recently released a report that also indicated that stablecoins like Facebook's Libra threaten the stability of the global financial system. 

Based on materialscointelegraph.com