Stable currencies are not under SEC regulation

02/24/2023 02:22 • AI Insights • 83 views

as report goes, Jeremy Allaire, CEO of Circle, a stable currency issuer of USDC, said in an interview: “I don’t think the SEC is the regulator of stable currency. In all parts of the world, including the United States, the government clearly stated that the payment of stable currency is a kind of payment system and bank supervision activity, which is for a reason. Although all stable currencies are not equal, from the perspective of policy, the unified view of the world is that this is a prudent regulatory space under a payment system.”

Circle CEO: I don’t think the SEC is the regulator of stable currency

Analysis based on this information:

Jeremy Allaire, the CEO of Circle, has claimed that the Securities and Exchange Commission (SEC) is not the regulator of stable currencies. In an interview with a news outlet, Allaire stated that globally, including in the United States, the government has made it clear that stable currency payments are categorized as a payment system and supervised by banking authorities.

This statement by Allaire comes as digital currencies continue to grow in prominence, with many companies and countries seeking to launch their own stable currencies. Stable currencies are a form of digital currency that are pegged to real-world assets such as fiat currencies, gold, or other commodities. The aim of stable currencies is to provide stability and convenience to users, as opposed to the volatility and lack of practicality often associated with cryptocurrencies such as Bitcoin.

The CEO of Circle further elaborated that although not all stable currencies are the same, their classification as payment systems under bank supervision is a prudent approach. This assertion underscores the fact that the digital currency ecosystem is a complex and dynamic space that requires careful regulation to safeguard consumer interests while promoting innovation and growth.

This view of stable currencies as payment systems rather than securities highlights the different regulatory approaches taken by regulatory bodies around the world. In some countries, for example, stable currencies are treated as securities and subject to regulation by financial market watchdogs.

It is important to note that the Securities and Exchange Commission has previously taken a stance that implies that some stable currencies may be considered securities. In November 2018, the SEC indicated that it was taking measures to clarify its position on stable currencies.

In conclusion, Jeremy Allaire’s statement that stable currencies are payment systems and not under the regulation of the Securities and Exchange Commission highlights the need for nuanced regulatory approaches to digital currencies. To promote innovation in the digital currency market, it is necessary to provide a context within which such innovation can thrive while ensuring consumer protection.

This article and pictures are from the Internet and do not represent aiwaka's position. If you infringe, please contact us to delete:https://www.aiwaka.com/2023/02/24/stable-currencies-are-not-under-sec-regulation/

It is strongly recommended that you study, review, analyze and verify the content independently, use the relevant data and content carefully, and bear all risks arising therefrom.

Stable currencies are not under SEC regulation

Circle CEO: I don’t think the SEC is the regulator of stable currency

Recommended articles