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Stablecoins could ‘fundamentally alter’ banking system, says US FDIC chief

December 7, 2022


Stablecoins could have such a profound effect on the established banking system that U.S. regulators need to require the digital tokens fit in without disrupting it, said Martin Gruenberg, the acting chairman of the Federal Deposit Insurance Corp. (FDIC), at a Brookings Institution event on Thursday.

Gruenberg’s agency is among the U.S. banking watchdogs that will have significant influence over how stablecoins are regulated. The FDIC has also had to weigh in with recent sanctions against firms – such as FTX US – that have made claims misrepresenting how FDIC deposit insurance backstops their operations.

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