Swiss regulator proposes new requirements to mitigate risks from stablecoin default guarantees
Switzerland's financial markets regulator, FINMA, has proposed new regulations to reduce risks for banks that provide a default guarantee to stablecoin holders. The regulator warns that banks may suffer reputational damage if there are irregularities at the stablecoin issuer. Stablecoin issuers in Switzerland pose a risk to the banks they work with, as they can avoid the need for a banking license by partnering with a registered lender to repay customers in case of default. FINMA has published guidance on this issue.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
VanEck’s Matthew Sigel Defends Ethereum’s Strong Utility Despite Bearish Market
![](https://img.bitgetimg.com/multiLang/image/social/e201343e99422f1587dcca6032544c281725741543205.jpg)
How Solana is Surpassing Ethereum in Blockchain Performance
![](https://img.bitgetimg.com/multiLang/image/social/19c85f4faba5949f3815555cb0a7c7711725741542820.jpg)
Debunking Bitcoin Myths: Separating Fact from Fiction in Cryptocurrency
![](https://img.bitgetimg.com/multiLang/image/social/946e527ab045281260662008d4e7ed021725741542403.jpg)
Fundstrat Analyst Predicts End of Nvidia Stock Decline, Hints at Crypto Market Recovery
![](https://img.bitgetimg.com/multiLang/image/social/919327f5a58cc6a19cd093f007645d3d1725741541939.jpg)