U.S. stablecoin policies could undermine the global payment system.

AMUNDI, the largest asset management company in Europe, warns that U.S. regulations on stablecoins could negatively impact the stability and efficiency of the global payment system.

MAIN CONTENT

  • AMUNDI is the number one asset management company in Europe.

  • U.S. stablecoin policy could disrupt the global payment system.

  • This impact raises many concerns about the stability of cross-border payments.

How does U.S. stablecoin policy affect the global payment system?

AMUNDI, with experience managing trillions of dollars in assets, believes that the stringent U.S. regulations on stablecoins increase the risk of disruption to international payments. According to a CGTN America report on July 3, these measures could limit the efficiency and reliability of the global payment platform, hindering cross-border transactions.

"The current policies in the U.S. not only affect the domestic market but also have far-reaching impacts on partners and the international payment system."
Jean Raby, CEO of AMUNDI, 2024

Experts evaluate that stablecoins are an important bridge in global finance due to their stability and speed. However, tightening policies could reduce usability and create fragmentation in the payment system, thereby affecting liquidity and international transaction costs.

Why is AMUNDI concerned about the impact of U.S. policy on stablecoins?

AMUNDI has many years of experience and reputation in the asset management industry with over $2.3 trillion in assets under management, showing deep understanding of global financial markets. They believe that U.S. regulations on stablecoins could create legal uncertainty and reduce user confidence in stable cryptocurrencies.

"An unstable stablecoin market will directly affect the liquidity and safety of the global payment system."
Jean Raby, CEO of AMUNDI, 2024

Restrictive policies could also lead payment organizations and investors to shift towards less safe solutions or slower traditional payment channels, reducing the progress of DeFi in international payments.

How to balance stablecoin management policies and ensure the payment system operates effectively?

Financial experts recommend a comprehensive, transparent, and unified legal framework internationally to optimize the role of stablecoins in the payment system. This aims to protect consumers, ensure financial safety, but does not diminish the flexible operational capability of the cross-border payment network.

For example, the European Union's proposals for cryptocurrency regulation (MiCA) are ambitious in creating a harmonized legal environment that facilitates sustainable development for stablecoins and the global cryptocurrency ecosystem.

Comparison table of stablecoin policy impacts between the U.S. and the European Union

Criteria U.S. Policy EU Policy (MiCA) Stringency Very high, increasing regulatory control Balancing regulation and development Impact on international payments Disruptive, reducing efficiency Prioritizing safety and promoting cross-border payments Supporting DeFi development Restricting development due to strict regulations Encouraging financial innovation and DeFi

Frequently Asked Questions

  • What does the current U.S. stablecoin policy focus on?
    The policy focuses on increasing control to reduce financial risks but potentially undermines global liquidity.

  • Who is AMUNDI and why are their views important?
    AMUNDI is Europe's leading asset management company with over $2.3 trillion in assets, having deep experience in global financial markets.

  • Why are stablecoins important in the global payment system?
    Stablecoins enhance the speed, reliability, and significantly lower the costs of international payments compared to traditional forms.

  • How can regulations balance the development and control of stablecoins?
    A transparent legal framework is needed to support innovation while protecting users and the overall financial system.

Source: https://tintucbitcoin.com/amundi-canh-bao-chinh-sach-stablecoin-my/

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