US Treasury Secretary Janet Yellen, a critic of digital currencies, is scheduled to meet with the Financial Markets Working Group this week to discuss stable coins.
to the the report Cryptobrapping According to a statement released today, US Treasury Secretary Janet Yellen is scheduled to meet with US lawmakers to discuss the Stables.
The US Treasury Department said in a statement that Yellen’s meeting with the Financial Markets Working Group, appointed by the President, will be held on Monday, July 19. The working group consists of members of the Office of Currency Control (OCC) and the US Federal Deposit Insurance Corporation (FDIC).
Yellen has said about this:
Bringing together legislators allows us to assess the potential benefits of stable coins while reducing their risks.
He added that government agencies should work together to regulate and make suggestions to officials.
The meeting will be based on a statement issued by the working group in 2020 on similar regulatory issues regarding the Stables.
It seems that the work of this working group is not related to the discussion of national digital currencies (CBDC) or government stable coins, but to the stable coins offered by private companies.
Yellen was appointed US Secretary of the Treasury at the same time as Joe Biden took office earlier this year and was approved by the Senate on January 25.
His position has always been against digital currencies and has emphasized the use of these currencies in criminal activities. However, it has been said that digital currencies have the potential to improve the financial system.
The news shows that Yellen has taken a more open view of digital currencies than he has said in the past, but that does not necessarily mean changing the rules. At present, it seems that private companies are free to operate in the field of stable coins.
Exchange offices can, in most cases, legally use stable coins. Even the US Currency Control Bureau has allowed US banks to work with these currencies. Visa Payment Company recently announced its intention to support Stable Coin payments.
One of the upcoming regulatory constraints is likely to be related to the recent US Financial Crimes Network (FinCEN) guidelines, which require manufacturers and exporters of stable coins to operate as monetary services business (MSB). Of course, this directive has so far not been an obstacle for any of the major exporters of stable coins. Monetary services businesses include companies that operate in the field of currency transfer and exchange. These companies are required to report requests above a certain amount.