CEO and Co-Founder of US-based major crypto company Circle, Jeremy Allaire, declares that crypto is misinterpreted in Washington, D.C.
He extended an encouraging part on how the incoming Joe Biden presidency might interpret cryptocurrencies.
Through an interview with CNBC today, Allaire stated that,
“I think that they will ultimately be supportive because this is an infrastructure change as big as the initial commercial internet. And they’re going to be focused on infrastructure changes that make America more competitive. And this is absolutely going to be a core building block in that,”
So far, the United States has not adopted that shift. It delays other nations when it becomes a regulatory framework by which blockchain startups can run, leading major market players such as Ripple CEO Brad Garlinghouse to consider moving abroad.
Biden hasn’t shifted his hand to how he considers about bitcoin (BTC) or any other cryptocurrency for that matter. He has chosen former Federal Reserve Chair Janet Yellen to be Treasury Secretary, who is assumed to be open to blockchain technology.
Allaire also steered to a great deal of uncertainty encompassing the crypto industry beyond the aisle in Washington, D.C., stating that the view on “the very liberal end of the spectrum” is that crypto is corrupting the people with less access to conventional financial services. The CEO supported the industry, including the stablecoin segment, where Circle’s USD Coin (USDC)’s market capitalization has ballooned some 500% year-to-date. He said,
“This technology, in particular stablecoins, holds the promise of opening up and widening access to the financial system more deeply than the existing banking system.”
Allaire, whose company Circle lately sealed a business with card giant Visa for its stablecoin, also pointed to big banks that are lobbying in Congress and saying that crypto corporations require “tighter rules around them,” comparing them to companies like PayPal and Square.
As published, last week, the stablecoin regulation act was submitted in Congress, once again emphasizing an essential difference between centralized and decentralized projects in terms of regulation.
Allaire also discussed the rise of central bank digital currencies (CBDCs) and whether they threaten to encroach on the territory of stablecoins. The CEO stated that,
“Right now, whether it’s the Federal Reserve, or the European Central Bank, or central banks around the world, there’s obviously a lot of interest in this topic…But the reality is that right now, leading companies in the private sector — whether it’s out of the crypto industry such as Circle and Coinbase or major firms like Visa or major internet technology firms — are racing ahead to implement stablecoins as…a fundamental innovation in how money moves around the world.”
He also added that, in the coming years, there could be a convergence between CBDCs and stablecoins, where the private sector and central banks strike a balance between innovation and “safeguards.”
Full vide interview below:
No Comment