Lack of stablecoin regulations could be ‘dangerous,’ says Cardano’s Hoskinson

[Malam90]

Charles Hoskinson- CEO of Cardano (one of the top 10 coins now in coinmarketcap) claims that lack of regulations of stablecoins is dangerous and a matter of concern. Stablecoins' should have a regulations so that it can serves as maintaining stability in the US local and international financial sectors. Lack of regulations may create 'Disaster' in the financial systems.
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[Zed0X]

With the exception of DAI, stable coins can be frozen at moments notice which means funds can be easily seized when needed. That's probably why there is no need for more stricter regulations.

The issue I have with these so called stable coins is the lack of transparency on Company assets that's supposed to back their tokens. USDT, for example, has been caught misleading people when they said 1 USDT is backed up by 1 USD. The fact is that it's backed up by USD and other (liquid assets).

[Malam90]

The issue I have with these so called stable coins is the lack of transparency on Company assets that's supposed to back their tokens. USDT, for example, has been caught misleading people when they said 1 USDT is backed up by 1 USD. The fact is that it's backed up by USD and other (liquid assets).

I personally doubtful about USDT who are claiming their USDT whether backed by USD, real ASSETS or not.
Lack of transparency is the main concern for so called stable coins who claim their coins are backed by usd or assets but don't have auditory report proof. As cryptocurrency is decentralized, i think it's no need to return it under any authority or regulatory board.

[kent47400]

I totally agree with Charles Hoskinson because this stable coin must be equivalent to the original Fiat in circulation.
If there is a regulation for equalization then I think stable coins might change in price like altcoins which always Pum and Dump.

Do not just in America which is strict for rules because the whole world also in every country must have the same strict rules for stable coins.

[IyemRoker]

Do not just in America which is strict for rules because the whole world also in every country must have the same strict rules for stable coins.

It is the same as in the country I live in (undisclosed), where the stable altcoins must meet various regulations because of the correct rules of the game.
Stable coins must also be centralized because if they are not centralized, when there are investors who want to exchange Fiat to stable coins, they can be printed easily, anytime and have a guarantee that is passed on to the developer.

[Astra]

Do not just in America which is strict for rules because the whole world also in every country must have the same strict rules for stable coins.

It is the same as in the country I live in (undisclosed), where the stable altcoins must meet various regulations because of the correct rules of the game.
Stable coins must also be centralized because if they are not centralized, when there are investors who want to exchange Fiat to stable coins, they can be printed easily, anytime and have a guarantee that is passed on to the developer.

Stable coins are, with a few exceptions, completely centralized. States and their governments are to blame for allowing their currency to be used uncontrollably to support the issuance and operation of other stablecoins. However, this is still temporary. Strong regulation of stablecoins will be required. It's just that this phenomenon in finance is still very new, and states do not like to rush in such matters.

[mahid]

Yes of course lake stablecoin regulations the market won't be stable. Already we know that a claim against USDT already issued. If any discrepancy is found then financial system of crypto currency will be destroyed with in seconds. So it is an important issue for this time.

[Proton]

The countries of the European Union are already working to create common rules to regulate the circulation of stablecoins. Therefore, after a while, such rules will appear. Moreover, their content may not please the owners of private and other commercial stablecoins.

[aiviaa485]

In this world, anything valuable must have rules.
Even for walking there must be rules, especially in the creation of stable coins that are representative for the entire cryptocurrency market.
If stable coins are unable to have strict rules, then it is certain that later stable coins will also feel like altcoins whose prices change all the time.

Charless Hoskinson is very right because this stbail coin must have strict rules so that there is no Dump.

[Arkann]

Yes of course lake stablecoin regulations the market won't be stable. Already we know that a claim against USDT already issued. If any discrepancy is found then financial system of crypto currency will be destroyed with in seconds. So it is an important issue for this time.

Of course, many cryptocurrencies have problems with regulatory authorities, but it seems to me that there is no need to worry about USDT. Throughout the entire period of its existence, even considering the poor state of the cryptocurrency market in specific years during the fall, USDT has always been stable.