#StablecoinLaw A Stablecoin Law refers to laws and regulations created to control the use and issuance of stablecoins — cryptocurrencies with values pegged to fiat currencies like the dollar.
📜 Main Points of the Stablecoin Law (such as the
-GENIUS Act in the US):
1•Mandatory Registration and Licensing:
•Issuers of stablecoins must be registered and authorized by regulatory bodies (e.g., Federal Reserve in the US).
2•100% Backed Guarantee:
•Every stablecoin needs to have real reserves (e.g., dollar, government bonds) that prove the equivalent value.
3•Regular Audits:
•Issuing companies must be audited regularly to ensure transparency and security.
4•Prohibition of Risky Assets:
•Stablecoins cannot be backed by unstable assets like stocks or other cryptos.
5•Legal Responsibility:
•In case of fraud or bankruptcy, issuers can be sued civilly and criminally.
6•Role of the Central Bank:
•Central banks have the authority to oversee, authorize, or ban issuers.
7•Focus on Financial Stability:
•The law aims to avoid systemic risks and protect consumers and markets.
🔒 Overall Objective:
To bring security, trust, and clear regulation to the use of stablecoins in the financial system, facilitating innovation without compromising economic protection.