Privately Issued, Regulated Digital Currencies, According To An Australian Central Banker, May Have Advantages.
According to Reuters, Australia’s central bank head stated today during a panel discussion that consumer-focused digital tokens issued by private enterprises would be preferable to tokens issued by the central bank if they can be adequately controlled.
“If these tokens are going to be widely used by the community, they are going to need to be backed by the state, or controlled just like we regulate bank deposits,” Phillip Lowe said at a conference of G20 finance officials in Indonesia.
If the regulatory arrangements for the digital currencies can be made properly, he continued, “I tend to think that the private solution is going to be better because the private sector is better than the central bank at innovating and designing features for these tokens.”
According to Reuters, Lowe and the other panelists agreed that more needs to be done to develop an effective regulatory structure.
The collapse of stablecoin TerraUSD and its linked token Luna in May threw the cryptocurrency markets into a tailspin, underscoring the threat to financial systems, the research stated.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join CoinCu Telegram to keep track of news: https://t.me/coincunews
Follow CoinCu Youtube Channel | Follow CoinCu Facebook page
Patrick
CoinCu News
Author
News
Privately Issued, Regulated Digital Currencies, According To An Australian Central Banker, May Have Advantages.
According to Reuters, Australia’s central bank head stated today during a panel discussion that consumer-focused digital tokens issued by private enterprises would be preferable to tokens issued by the central bank if they can be adequately controlled.
“If these tokens are going to be widely used by the community, they are going to need to be backed by the state, or controlled just like we regulate bank deposits,” Phillip Lowe said at a conference of G20 finance officials in Indonesia.
If the regulatory arrangements for the digital currencies can be made properly, he continued, “I tend to think that the private solution is going to be better because the private sector is better than the central bank at innovating and designing features for these tokens.”
According to Reuters, Lowe and the other panelists agreed that more needs to be done to develop an effective regulatory structure.
The collapse of stablecoin TerraUSD and its linked token Luna in May threw the cryptocurrency markets into a tailspin, underscoring the threat to financial systems, the research stated.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join CoinCu Telegram to keep track of news: https://t.me/coincunews
Follow CoinCu Youtube Channel | Follow CoinCu Facebook page
Patrick
CoinCu News
Other Posts
Related Posts
Latest
Best Cryptos to Invest in December 2024: Qubetics Surges Past $2.6M as Solana Records Big Whale Pump and Polkadot Aims for $6
Bitcoin Trader Turned $100M in His 20s—Now Reveals 5 Altcoins to Build a $50M Portfolio, With Memecoins Leading the Way!
Press Release
Best Cryptos to Invest in December 2024: Qubetics Surges Past $2.6M as Solana Records Big Whale Pump and Polkadot Aims for $6
The Best Crypto for Passive Income? 10% Weekly Gains and 20% Final Surge—Qubetics Mirrors Cosmos’ Early Success!
