Authorities from all across the world are still debating how to specific risks of altcoins.
The impact of the TerraUSD (UST) depegging has been two weeks, yet the lengthy ripples of this catastrophe are still flowing in. The UST disaster as defined by the Congressional Research Service as a “run-like” situation, and the bitcoin business has yet to achieve the like-wise level of “sufficient regulation” as the conventional finance market.
Michael Barr, a previous Ripple Labs advising top executive and US President Joe Biden’s candidate for the Federal Reserve’s chairman for oversight, wholeheartedly believes. He noted “some major concerns” that emerging technology and bitcoins pose in his congressional testimony.
Authorities are worried about stablecoins all across the world, not just in the United States. Sarah Pritchard, the Financial Conduct Authority’s (FCA) executive head of commodities, promised reporters that the FCA will “definitely” take the depegging event into consideration, which is not shocking given the British Treasury’s aim to make stablecoins a transaction option.
The current upheaval has alarmed the Group of Seven, prompting the Economic Security Board to expedite virtual currency legislation. Authorities from Canada, France, Germany, Italy, Japan, the United Kingdom, and the United States were forced to convene a special conference in Koenigswinter, a 40,000-person city, whereas the Conservative Party of South Korea moved so far as to seek a public inquiry on the issue.
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