The G20 Financial Stability Board made new statements regarding fixedcoins (stablecoin). The Financial Stability Board gave some advice to politicians in these statements made against fixedcoins developed by private companies.
Status of Fixed Coins
According to the Reuters report, the Financial Stability Board (FSB) shared 10 different notes on fixedcoins today. These notes largely talk about the general features of fixedcoins and how these products can be arranged.
According to the notes shared by the Financial Stability Board, companies that produce their own fixedcoin should be treated in the same way as other financial / payment companies are treated. Nowadays, companies like PayPal will be subject to the same regulations.
Fixed companies are expected to be subject to existing finance / payment laws. So what will be done at the points where the existing laws are insufficient? After all, there was no such thing as “fixedcoin” until a few years ago and there is no law directly addressing fixedcoins.
Each country can try to regulate fixed coins on its own. We can see different fixed code laws, standards and policies in each country. Already, the Financial Stability Board expects the fixed code laws to change in every country. But at this point, it should be remembered that fixedcoins can be used in international payments.
According to the Financial Stability Board, even if countries organize fixedcoins on their own, they will have to cooperate with each other at some point. At this point, the authorities will need to evaluate the fixedcoin laws in their own countries well and correct the shortcomings:
“Globally-fixed fixedcoins pose certain risks. Related authorities; to eliminate these risks should eliminate the existing uncertainties and eliminate legal shortcomings in their countries. ”
With this recommendation, the Financial Stability Board proposes to the countries to be flexible in fixedcoins. Countries can regulate fixed coins independently, but they should not ignore that fixedcoins can be used in international transactions in this process. In fact, each country will need to cooperate with each other while organizing fixedcoins, and at least follow the developments in other countries.