As a part of its latest effort to counter financial crime, the EU commission overhauls anti-money laundering and preventing the financing of terrorism activities rules. Bitcoin falls within the scope of the new proposal. According to BBC, the new EU law would force businesses to acquire recipient’s and sender’s details when transfers of crypto assets are made.
The U.S. Federal Reserve (Fed) chairman appeared before Congress and shared his opinion before the representatives that the regulation on stablecoins should resemble that of bank deposits and other similar traditional monetary instruments. The most recent statement echoes the sentiment of the current US administration, which is also lobbying for additional regulatory measures for stable digital currencies.
It is no longer news that most apex banks have had to print more money as part of their many strategies to recover from the blow dealt by the Covid-19 pandemic. The United Kingdom, United States, and a few developing countries have resorted to printing more cash to meet the needs of their respective economies. While a good short-term plan, decisions like these are likely to adversely affect the economy.
Whether you’re a cryptocurrency enthusiast or not, it’s hard to deny that the industry is growing rapidly. We can see massive growth in the amount of users entering the cryptocurrency space, especially in the wake of the recent Bitcoin bull run. Mastercard, one of the world’s leading financial service providers, has noticed that cards using the Mastercard network are increasingly being used to purchase crypto or to change crypto into fiat.
Mike Miglio is the CEO and co-founder of Bridge Mutual. He is also the managing partner of a boutique cryptocurrency law firm that started in 2017. Mike’s clients include QTUM, Akropolis, Certik, and Gate.io, among others. He first invested in the space in 2016, and has been involved in cryptocurrency full-time ever since.
The growth in the stablecoin sector is only going to accelerate, both in terms of the number of stablecoins and market capitalization. It is very likely that what we are observing with Tether will occur with many stablecoin projects, where they issue parts of their total treasuries as stable assets on multiple protocols.