Government regulators are waking up: Bitcoin and similar cryptocurrencies aren’t a true existential threat to the current financial system. Stablecoins, which are attached to such real assets as the dollar or gold, are the real menace to the status quo.
Stablecoins don’t fluctuate wildly, as do the Bitcoins of the world. This makes stablecoins more usable for normal commercial transactions. They could even become alternatives to government currencies.
So, in the name of transparency and safety, the whole array of financial regulators is now targeting stablecoins. The chairman of the SEC, for instance, has compared them to poker chips in Wild West casinos. Regulators want to neuter stablecoins.
The world of cryptos had better be gearing up for a long, epic struggle.Follow me on Twitter. Send me a secure tip.
Steve Forbes is Chairman and Editor-in-Chief of Forbes Media. Steve’s newest project is the podcast “What’s Ahead,” where he engages the world’s top newsmakers,… Read More
Steve Forbes is Chairman and Editor-in-Chief of Forbes Media. Steve’s newest project is the podcast “What’s Ahead,” where he engages the world’s top newsmakers, politicians and pioneers in business and economics in honest conversations meant to challenge traditional conventions as well as featuring Steve’s signature views on the intersection of society, economic and policy. Steve helped create the recently released and highly acclaimed public television documentary, In Money We Trust?, which was produced under the auspices of Maryland Public television. The film was inspired by the book he co-authored, Money: How the Destruction of the Dollar Threatens the Global Economy – and What We Can Do About It. Steve’s latest book is Reviving America: How Repealing Obamacare, Replacing the Tax Code and Reforming The Fed will Restore Hope and Prosperity co-authored by Elizabeth Ames (McGraw-Hill Professional). Steve writes editorials for each issue of Forbes under the heading of “Fact and Comment.” A widely respected economic prognosticator, he is the only writer to have won the highly prestigious Crystal Owl Award four times. The prize was formerly given by U.S. Steel Corporation to the financial journalist whose economic forecasts for the coming year proved most accurate. In both 1996 and 2000, Steve campaigned vigorously for the Republican nomination for the Presidency. Key to his platform were a flat tax, medical savings accounts, a new Social Security system for working Americans, parental choice of schools for their children, term limits and a strong national defense. Steve continues to energetically promote this agenda.Read Less