Speaking before the House Financial Services Committee, US Federal Reserve Chairman Jerome Powell, advertiser That the authority does not have a goal to ban cryptocurrencies.
According to Powell, who responded to his earlier comments that cryptocurrencies can be exchanged for a central bank digital currency (CBDC), the crypto market should be regulated in accordance with existing laws.
Same activity, same organization
Earlier Thursday, Powell testified before the committee that oversees all of the nation’s housing and financial services sectors, including banking, insurance, real estate, public and subsidiary housing and securities.
In response to a question from Republican Representative Ted Budd of North Carolina, Powell reassured that a Chinese-style ban on cryptocurrencies had not been considered.
– LilMoonLambo (LilMoonLambo) September 30, 2021
Budd’s question came in response to Powell’s previous comments regarding stablecoin regulation and the central bank’s ongoing deliberations on issuing a central bank digital currency.
According to Powell, a “widely understood” commercial bank digital currency (CBDC) could perform some of the same functions as cryptocurrencies but without the regulatory risks.
“Stablecoins are like money market funds, they are like bank deposits, but they are, to a certain extent, outside the scope of regulation and it is appropriate to be regulated,” Powell said.
“Same activity, same regulation,” he added.
Develop a regulatory framework for cryptocurrency
Powell’s remarks came amid a viral outbreak discussion surrounding the regulation of cryptocurrencies in the United States, which has intensified over the past months.
The most popular cryptocurrency in China ban Up to date and growing regulatory audit On the home front, it provoked abusive reactions between the two parties industry Insiders and government Officials, who began to insist on clear and transparent guidance from the United States guardSecurities and Exchange Commission (SEC).
As the application of current securities regulations to cryptocurrency could lead to crypto businesses being chased out of the country, the development of a substantive framework that is less hostile to the industry continues to unravel as a strategic decision.
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