Powell opens the floodgates! Stablecoin wild horse is reined in, digital dollar approaches
Last night, Powell released a significant message: the regulatory framework for stablecoins is officially launched! This is no longer just empty talk, but a substantial action to reel in the net, and the tremors in the cryptocurrency world have already begun.
1. Stablecoins seem stable, but in reality, there are 'hidden currents'
Stablecoins tout '1 dollar = 1 coin', making people feel as secure as bank deposits, but in reality, many coin traders are engaging in shadow banking activities. Last year, the collapse of Terra saw 40 billion dollars evaporate in an instant, leaving many investors with nothing. Since then, regulators have begun to keep an eye on this 'cake'.
Even more shocking is that the U.S. government found that 90% of dollar stablecoin transactions occur overseas! This is equivalent to Wall Street's dollars running rampant in the crypto space; if no action is taken, how can it be allowed?
2. New regulations introduced, two keywords: control, block
Finally, the functions of the regulatory agencies have been clarified! Previously, cryptocurrency regulation was like a game of hot potato, with the SEC and CFTC both fighting over it. Now the Treasury has taken over, clearly delineating responsibilities. Want to be a substitute for digital dollars? Hand it over to the banks for regulation; want to innovate technologically? The SEC will manage it.
Coins that previously operated on the fringes through cross-border activities will now have to publicly obtain licenses to enter the U.S. market, with no tolerance for 'shadow trading'.
3. Don't celebrate too early, the game has just begun
Regulation is always lagging behind technology. Today you debate whether algorithmic stablecoins are 'deposits', and tomorrow they can iterate new gameplay. Regulators will never keep up with the pace of the market.
As for Powell's mention that 'this does not affect the advancement of central bank digital currencies', the meaning is clear: no matter how much the private stablecoins stir, the real digital dollar is the ultimate boss.
This time, the Federal Reserve's actions can be seen as putting the first reins on the 'wild horse' of the cryptocurrency world; the real contest has just begun.
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