Heath Tarbert the CFTC chairman was giving a speech at Harvard’s Kennedy School on the regulations in the financial world. During the talk, the CFTC boss kept talking up the idea of a global stablecoin.
The main bulk of the talk was about how the SEC and CFTC differ on regulation in the crypto space. The idea of a global stablecoin is indeed an interesting one and not too dissimilar to the idea of Libra.
Even Bank of England Governor Mark Carney said a Libra type stablecoin could be warranted. Carney said that maybe some of the world’s central banks should come together to make a digital currency.
Now it seems that Mr Tarbert has caught onto the idea and thinks it could be possible. I think the anti-money laundering and terrorist financing issues are still the key concern. But if the central banks came together to organise this it could be much simpler than if a private company like Facebook did.
Essentially what the CFTC chairman was stating is that a global stablecoin only results in there being a ‘systemic risk’. So maybe we will not see it soon but more and more leaders are thinking about it.
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