The Federal Reserve has taken action! Powell has launched a regulatory bombshell, will the 'stability' of stablecoins change?
Just now, Federal Reserve Chairman Powell released a significant signal:
Stablecoin regulation is officially on the agenda! In short: future stablecoins = must accept the U.S. financial regulatory framework.
What’s the logic behind this?
In recent years, stablecoins like USDT and USDC have circulated in the global trading market, yet have existed in a regulatory gray area.
U.S. officials can no longer hold back: they are directly intervening + establishing regulatory standards.
Stablecoin issuers must be licensed + compliant, eliminating the risk of 'shadow banking' for funds.
Powell clearly stated: 'If it is money, it must be regulated!'
What is the impact on the cryptocurrency space?
Short term: the market may experience emotional fluctuations, with some funds taking a wait-and-see approach.
Non-compliant stablecoins may face 'policy suppression'.
Mid to long term:
Compliant stablecoins like USDC may benefit.
Mainstream funding channels in the cryptocurrency space may become more transparent + secure, ushering the entire industry into the 'institutional era'.
The 'wild growth era' of the stablecoin industry may come to an end.
Pay attention to the regulatory winds.
U.S.-based stablecoins (USDC) are compliant + related to licensed financial institutions.
Avoid unlicensed issuances + gray projects, keep an eye on market sentiment changes, and timely reduce leverage + reasonably allocate spot and contracts.
