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Regulators urge clearing, settlement-style rules for stablecoins

Two key standard-setting bodies recommend bringing stablecoins tighter into the regulatory fold

The Bank of England's Jon Cunliffe said while the recent crypto crash was not systemic, it could be in future
The Bank of England's Jon Cunliffe said while the recent crypto crash was not systemic, it could be in future Photo: Hollie Adams/Getty Images

Stablecoins should be subject to the same standards as the clearing and settlement sectors, according to leading international regulators.

A report from The Bank for International Settlements and The International Organization of Securities Commissions noted that the most common use cases for stablecoins — cryptoassets pegged to fiat currencies — was to bridge digital assets and commercial money, so stablecoins fit the definition of “systemically important financial market infrastructure”.

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