According to a report by CoinDesk from Foresight News, the new Financial Stability Board (FSB) Chairman and Bank of England Governor Andrew Bailey stated in an open letter to the G20 that assessing the role of stablecoins in payment and settlement areas will be a priority for the FSB. After taking office in July, Bailey emphasized that before the G20 Summit, the FSB needs to continue promoting the implementation of stablecoin regulatory recommendations and strengthen cross-border regulatory cooperation.
The institution previously issued stablecoin regulatory rules in 2021 to prevent potential impacts on the global economy and announced last year that it would conduct an in-depth study on risks associated with stablecoin applications in emerging markets. In a recent interview with The Times, Bailey warned that investment banks' self-developed stablecoins might weaken credit creation and monetary policy regulation capabilities. As the stablecoin market reaches new highs, global regulatory efforts continue to intensify, with the US Senate having passed the GENIUS Stablecoin Act.
