FED Official Said That They Consider Cryptos
Randal Quarles, a Federal Reserve official, said that when talking about cryptoassets and stablecoins, they consider cryptos.
FED Board Member Randal Quarles stated that regulators do not intend to prevent innovation, but they do not ignore the risks arising from crypto assets and stable coins.
Speaking at the financial stability conference in Madrid, Quarles stated that digital assets do not pose a threat to the global financial system at the moment, but financial services that are not covered by regulations may create systemic problems.
“As far as we have learned from history, non-bank financial institutions and their products that continue their operations in unregulated gaps may one day cause systemic problems.” Fed official Quarles underlined that the Financial Stability Board (FSB) closely monitors crypto assets and stablecoins.
Fed official Quarles stressed that the regulatory and guiding framework should not undermine innovation, but should also prevent potential risks.