Tim Massad, who served as chairman of the Commodity Futures Trading Commission (CFTC) until 2017, said the United States Too late to develop a payment modernization plan
In a hearing on Wednesday of the Joint Economic Committee on the role of digital assets in the Massad government. saidA central bank digital currency, or CBDC, could be a solution for the United States to improve its existing payment system, which he views as both “slow” and “expensive.”
In addition, the former CFTC chairman also said that while stablecoins could be used for this purpose, They also present the most pressing challenges for US regulators. and pose a significant risk
Massad said that people who use stablecoins like Tether ( USDT ) Able to transfer funds between exchanges This is a good example of why the US payment system. However, he added that stablecoin issuer reserves are not invested in cryptocurrencies. “Secured liquid assets,” such as dollars, are therefore not insured in the same way as funds in traditional financial institutions. The former CFTC chief said his advice was to adopt regulations. “Like a bank” to use
“CBCs, stablecoins and digital assets are generally cited as a means of achieving greater financial accessibility. And we should consider their potential to do so,” Massad said. “We should take action now to improve access to financial services through other means as well. because there is so much demand.”
Peter Van Valkenburgh, research director at Coin Center who attended the hearing, viewed stablecoins as an “interesting area” in the crypto space, but expressed concerns about a lack of regulatory clarity for issuers.
“Some stablecoin issuers are breaking the law,” Van Valkenburgh added.
The post “U.S. Too Slow to Develop a CBDC,” Says Former CFTC Chairman appeared first on Bitcoin Addict.