Cryptocurrencies

    Basel Committee proposes tightening standards for cryptoasset exposures

    Article Image
     

    These proposed adjustments focus on tightening the criteria for stablecoins to qualify for preferential regulatory treatment.

    The update primarily addresses stablecoin requirements, detailing the composition of reserve assets and their credit quality, maturity, and liquidity.

    Banks would be mandated to conduct thorough due diligence on the stabilisation mechanisms of stablecoins, including statistical tests to ensure stability relative to reference assets.

    Disclaimer

    Grafa is not a financial advisor. You should seek independent, legal, financial, taxation or other advice that relates to your unique circumstances. Grafa is not liable for any loss caused, whether due to negligence or otherwise arising from the use of, or reliance on the information provided directly or indirectly by use of this platform.

    Publisher
    Grafa