G7 believes that "global stable currency" poses a threat to financial stability, and Libra is in the shadow again
Author | Qin Xiaofeng
Editor | Lu Xiaoming
Produced | Odaily
(picture fromsfgate）
according toBritish Broadcasting Corporation (BBC)Author | Qin Xiaofeng
Editor | Lu Xiaoming
image description
(picture from
according to
British Broadcasting Corporation (BBC)
It was reported on October 13 that the Group of Seven (G7) has already issued a report saying that "global stablecoins" pose a threat to the global financial system. However, the report did not specifically mention Facebook's Libra project.
The G7 task force that wrote the report is senior officials from central banks, the International Monetary Fund (IMF) and the Financial Stability Board (FSB). The report will be presented to finance ministers at the International Monetary Fund's annual meeting this week.
(Odaily Note: G7 is an intergovernmental international economic organization whose members include the United States, Canada, the United Kingdom, France, Germany, Italy and Japan.)
secondary title
Stablecoins are doomed
The draft G7 report begins by acknowledging that cryptocurrencies may offer a faster and cheaper way of transferring money and making payments, saying that current systems are often "slow, expensive and opaque."
The report also said there are currently 1.7 billion unbanked and underserved consumers who could benefit from wider financial services.However, the report outlines nine major risks posed by such digital currencies, including threats to global financial stability, money laundering, and financing of terrorism.Although stablecoins such as Libra are less volatile in price than cryptocurrencies such as Bitcoin, and are endorsed by large companies, they are less likely to commit crimes.
This also means that stablecoin projects like Libra will face stricter legal and regulatory scrutiny. However, this does not mean that everything will be fine if you pass the review.
“Addressing such risks does not necessarily guarantee regulatory approval of a stablecoin arrangement,” the report said. Even if Libra resolves the issues, the project may not receive regulatory approval.
A separate FSB report published on Sunday warned that the introduction of “global stablecoins” poses a number of regulatory challenges.
FSB Chair Randal QuarlesIn a letter to the Finance Ministers of the Group of 20 (G20)"These challenges should be assessed and addressed as a matter of priority," he said. Donald Trump The Financial Stability Board is working with officials around the world to identify potential regulatory loopholes and will publish a report next summer.Steven Mnuchinsecondary title
Libra's future is worrying
This is not the first time the Libra project has faced regulatory challenges.
Just last month,
Germany, France
