G7 Insists on Accelerating the Development of Crypto Regulation Rules After the TerraUSD Collapse
G7 finance ministers called on the Financial Stability Board (FSB) to expedite the development of digital asset regulation.
According to Reuters, such an initiative arose after the collapse of the Terra ecosystem due to the loss of the UST algorithmic stablecoin from the US currency.
François Villeroy de Galo, chairman of the Bank of France, said that digital assets have the potential to disrupt the international financial system if they are not regulated, monitored and interacted in a consistent and appropriate manner across jurisdictions.
Earlier, in the Financial Services and Markets Bill, the British Treasury introduced rules to regulate stablecoins as a payment mechanism but excluded algorithmic stablecoins.