Speaking at the City and Financial Conference today, Treasury Economic Secretary John Glenn stated that authorities need to regulate stablecoins because of the threat they pose if a major corporation takes over the sector.

And thequotes About Mr. John Glenn:

There is a potential for some companies to quickly achieve dominance and crowd out other players due to their ability to scale and deliver online services.

Regulating the crypto market:

Despite calls from financial experts to create a legal framework for the broader global crypto market, Glenn pointed to the need to speed up regulation of cryptocurrency markets, especially stablecoins.

Read:The start of the recovery of the crypto market and the recovery of $ 300 billion, and the eyes of Bitcoin at the level of 50 thousand dollars

According to him, it is necessary to do this because those behind these stable cryptocurrencies are companies that have been active for years such as Tether, which operates the largest cryptocurrency in terms of trading volume and is leading the way for stable cryptocurrencies.

Britain’s finance minister has warned that while no dominant player is allowed to conquer the market, things could change overnight when a popular company gets the regulatory approval needed to launch a stable digital currency.

From Glenn’s statements, he appears to be referring to Facebook, which announced a plan to develop a digital currency in 2019 under the name “Libra”, which changed its name to “Dim”.

The project, which is governed by the Libra Association, which is run by Facebook along with other major entities as its members plan to launch a cryptocurrency that will not encounter the volatility issues found in other cryptocurrencies.

But most global regulators rejected and opposed the move due to Facebook’s dominance of the social media space, where the company has more than two billion monthly active users.

Glenn’s statement also stated:

Here we have a once-in-a-generation opportunity to make strides in the efficiency of financial services, ultimately benefiting consumers and the economy as a whole.

Read:How is the Cardano project trying to solve the biggest blockchain problems?

Various regulations:

While Britain previously considered regulating stablecoins, the country’s financial watchdog refused to issue rules governing stablecoins and was told they do not have the same features as cryptocurrencies.

Alex Roy, head of consumer protection at the Financial Conduct Authority (FCA), stated that it is impossible for stablecoins and cryptocurrencies to have the same set of rules because the former are backed by cash and fiat assets.

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