Facebook representatives discussed the release of Global Coin cryptocurrency with members of the Commodity Futures Trading Commission (CFTC). The social network plans to release its digital asset and wants it to comply with legal requirements. It is reported by Financial Times.
According to Christopher Giancarlo, CFTC Chairman, the meeting was devoted to the topic of regulating the trade in Global Coin coins. In particular, which agency will control the issuance and sale of virtual currency. Giancarlo said that the Commission has not yet made a final decision on this issue and is therefore interested in studying Global Coin.
Earlier it was reported that Global Coin will become a stable cryptocurrency, its rate will be pegged to the US dollar.
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Thus, the turnover of the coin will not fall under the jurisdiction of the CFTC, since the agency regulates the market for financial derivatives. Unlike traditional virtual currencies, for example, Bitcoin, the value of stablecoins is not subject to a high level of volatility, so derivatives based on Global Coin will not be created due to lack of demand.
The opinion of the crypto community about Global Coin has divided: many people believe that the coin will revolutionize the digital asset market, but some experts question the commercial success of Facebook’s coin. It is also worth noting that the virtual currency will not be released soon, because the social network has yet to resolve legal issues and enlist the support of US officials.
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