The US Consumer Financial Protection Bureau will study the use of cryptocurrencies in the payments industry

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The US Consumer Financial Protection Bureau will study the use of digital currencies for payments and increase oversight of technology companies as they enter the traditional financial sector.

In recent months, following the market crash andWith the bankruptcy of several cryptocurrency platforms, digital assets have come under the scrutiny of regulators. The director of the US Consumer Financial Protection Bureau (CFPB), Rohit Chopra, said that the agency is now studying the use of cryptocurrencies for making payments in real time. The CFPB will release a report on its findings in the fall.

“Is America ready for the latestHas technology entered financial services? We are already witnessing the emergence of cryptocurrency cards and cryptocurrency payments. This raises many questions about the future of the financial sector, especially data privacy,” Chopra said.

The CFPB Director noted that largeAs online businesses promote widespread use of cryptocurrencies to pay for goods and services in real time, the Bureau is concerned about the risks of hacking, technical errors and fraud. Chopra recalled the Diem project, formerly called Libra. It has caused significant concern among regulators in various countries, who fear that Facebook's stablecoin could pose systemic risks to the international economy and violate user privacy. As a result, due to pressure from regulators, the developers decided to close the Novi cryptocurrency wallet intended for Diem.

Last year, the CFPB required largecompanies such as Meta, Amazon, Apple and Google have clarified how they collect and use consumer payment data. We note that Chopra took over as CFPB Chairman in 2021. He previously served as a Democratic commissioner at the US Federal Trade Commission (FTC), engaging with major technology companies on competition issues.

In 2020, the CFPB recognized the potential of the XRP cryptocurrency for making international payments, as the Ripple solution allows transactions to be carried out instantly and without high fees.