The Financial Stability Board (FSB) has released an international regulatory framework for crypto assets

ChainCatcher news, the Financial Stability Board (FSB) released the "International Regulation of Crypto-asset Activities" this week, providing policy recommendations for legislators in each jurisdiction aimed at maintaining innovation in the crypto space.

The FSB stated that an effective regulatory framework must ensure that crypto asset activities are comprehensively regulated, commensurate with the risks posed by these activities, while leveraging the potential benefits of the underlying technology. Such regulation should ensure that equivalent regulatory outcomes are achieved when they pose risks similar to those of traditional financial activities, while addressing the new characteristics of crypto assets.

The FSB also emphasized that legislators should monitor the backend operations of stablecoin issuing companies to ensure that issuers continuously maintain the funds backing the issued stablecoins, preventing events similar to the collapse of TerraUSD from occurring again. It is reported that the FSB has requested its members to provide feedback on this global regulatory framework by December 15, 2022. (Source link)