Janet Yellen Believes Digital Currencies Pose a Threat to the Financial System
In Congress, US Treasury Secretary Janet Yellen addressed the issue of legalizing cryptocurrencies within her department’s upcoming plans.
There have been calls from both the Senate and House of Representatives for a regulatory framework to be established for the crypto market.
While some lawmakers are pushing for legislation that would support the industry, others are advocating for strict regulations.
During her speech, Yellen highlighted the risks that come with legalizing cryptocurrencies, particularly unsecured tokens. She also stressed the need to address cyber threats and develop measures to protect investors. Yellen acknowledged the potential of stablecoins as a means of payment, as long as they are backed by fiat currency.
According to Yellen, a law should be created outlining how digital currencies backed by fiat will be utilized. This would provide a framework for using these currencies effectively in the market.
