The Financial Stability Board (FSB) plans to present its rules for cryptocurrency regulation in October this year. The regulatory body said in a blog post that robust regulation and supervision will act as a response to the recent market turmoil.
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The FSB said it will submit a public consultation report that proposes “recommendations for promoting” an international regulatory standard on how to supervise the crypto market. The organization said:
“The recent turmoil in crypto-asset markets highlights the importance of progressing ongoing work of the FSB and the international standard-setting bodies to address the potential financial stability risks posed by crypto-assets, including so-called stablecoins.”
The FSB has been persistent with its intention to tighten crypto market regulation for a long time now. In February, the watchdog said the crypto market was growing too quickly, which is why international financial regulators should prepare new measures to fight global risks.
In the latest attempt to make a change, the FSB also highlighted that a stablecoin that enters the mainstream could pose “significant risks to financial stability in the absence of adequate regulation.”
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