U.S. Secretary of the Treasury Janet L. Yellen reportedly disclosed her initiative to form a meeting among numerous financial agencies in America, to talk about stablecoin.
Specifically, the meeting will reportedly see the participation from the President’s Working Group on Financial Markets (PWG), together with the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation.
The entities are reportedly going to sit down and discuss potential interagency matters regarding stablecoins, nominally its regulations and possible pros and cons.
“Bringing together regulators will enable us to assess the potential benefits of stablecoins while mitigating risks they could pose to users, markets, or the financial system. In light of the rapid growth in digital assets, it is important for the agencies to collaborate on the regulation of this sector and the development of any recommendations for new authorities.”
In December last year, the PWG reportedly revealed its plan to start looking into the existing regulations of stablecoins, in an attempt to determine and handle technology’s associated risks.
The news surrounding the discussion reportedly surfaced two days after the Chairman of the Federal Reserve Jerome Powell called for stricter stablecoins-centric regulations with the House of Representatives.
Per Powell, should stablecoins included within the sphere of payment, regulation for it is mandatory.
On July 15th, a bipartisan bill was reportedly proposed to the House, aiming at establishing a clear definition of assets, such as digital tokens, and other emerging technology under existing securities law.