UK s finance ministry opens consultation on regulating crypto and stablecoins
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The Treasury wants to regulate the crypto space like traditional payment services.
The consultation is open until March 21.
Her Majesty s (HM) Treasury, the U.K. s finance ministry, has opened a consultation on regulating crypto-assets and stablecoins to support innovation and protect consumers.
The Treasury said the rise of crypto and stablecoins could pose similar financial stability and consumer risks as traditional regulated payment systems, and hence regulating the space is necessary. We will take an agile, risk-led approach to regulation, rooted in the principle of same risk, same regulatory outcome, said John Glen, an MP and Economic Secretary to the Treasury. In other words, the government wants to ensure a level playing field and reduce opportunities for regulatory arbitrage.
December 30, 2020, 6:15AM EST
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1 min read
The New York Department of Financial Services (NYDFS) has given Japanese tech giant GMO Internet the green light to issue two stablecoins a dollar-pegged coin (ZUSD) and a yen-pegged coin (GYEN).
GYEN is the first non-USD stablecoin approved by the NYDFS. Both GYEN and ZUSD will be issued by GMO-Z.com Trust Company, a limited liability trust company that has been granted a charter by the NYDFS.
GMO said to win approval for the trust, it had to meet stringent requirements for cybersecurity programs, as well as federal standards for anti-money laundering and economic sanctions. The stablecoins are expected to launch next month and will be powered by Ethereum.