Topic: Stablecoin regulations and their future implications - page 2. (Read 277 times)
TBH, I'm sure regulation is going to show weaknesses of stablecoins. With no institutional clearing house to support large volumes, they'd collapse or at least would not be able to serve the number of people the do today. Regulators could bring any stablecoin to its knees if they so desired. If it's backed in FIAT, it's just as sizeable, no matter how tokenized.
Governments (especially the US) have recently announced that they will be regulating stablecoins within the mainstream world. This has been a result of Facebook's Libra stablecoin announcement which has kept many governments worried about digital currencies taking over the existent financial infrastructure. If they start regulating stablecoins, you can expect the growth of the crypto industry to start slowing down at an unprecedented rate. These digital assets have been a safe-haven for many investors worldwide looking to protect their capital in crypto's volatile prices across the market.
Considering that the US is a country with strict regulations against crypto and Blockchain technology, they might become a headache for mainstream businesses and companies looking to provide stablecoin solutions for US customers. While crypto is in fact decentralized, it still depends on the government's approval to succeed within the mainstream world. Nobody would use something that is declared "illegal" despite being possible to use it regardless of imposed regulations from worldwide governments.
Do you think regulating stablecoins is a good idea? What are the future implications of stablecoin regulation?
Considering that the US is a country with strict regulations against crypto and Blockchain technology, they might become a headache for mainstream businesses and companies looking to provide stablecoin solutions for US customers. While crypto is in fact decentralized, it still depends on the government's approval to succeed within the mainstream world. Nobody would use something that is declared "illegal" despite being possible to use it regardless of imposed regulations from worldwide governments.
Do you think regulating stablecoins is a good idea? What are the future implications of stablecoin regulation?
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