The EU Finance Service Head is asking the United States to create new crypto rules

The EU's financial service manager has asked the US politicians to work out far-reaching new rules to regulate the crypto industry, and warns that digital assets could be a threat to financial stability if they grow unhindered.

Mairead McGuinness, Financial Service Commissioner of the European Commission, said the Financial Times that any regulation that is imposed on the industry must be global to work.

"We have to see that other actors also enact laws," said McGuinness, referring to countries that begin to follow the example of the EU in cryptor regulation, "maybe different, but with the same goal.. We have to deal with the global regulation of crypto."

The Irish Commissioner spoke during a trip to Washington, DC, where she met politicians in the center of the negotiations at the Capitol Hill, including the Republican member of the House of Representatives Patrick Mchenry and the democratic senator Kirsten Gillibrand.

She said she was encouraged by these meetings and believes that US politicians "go in the same direction" as that in the EU. But she added: “At European level there are many concerns [what would hop] if crypto was not regulated.

"It could - over time when it grows - give problems with financial stability. There are also investor problems in connection with a lack of certainty."

The EU is recognized internationally as one of the most comprehensive regimes in relation to cryptocurrencies, in the form of a new set of rules that went through its last phase in the block at the beginning of this month. These rules will regulate everything, from the issue of stable coins to monitoring the environmental impact of the industry from 2024.

President Joe Biden also spoke of the importance of regulating the crypto industry, but the members of the congress are disagreed with how to do this. The Securities and Exchange Commission has taken an aggressive attitude towards crypto exchanges, but the coins themselves are still subject to a very low supervision.

Those who are on the hill shortly before the negotiations say that the two parties are still months away from reaching key questions, such as: B. the regulation of the 150 billion dollar market for stable coins-a category of cryptocurrencies that are covered by real assets such as cash and short-term bonds.

The comments of McGuinness agree with those of the Financial Stability Board from last week, in which a global frame is required to guide the countries for their efforts to regulate cryptes.

At the beginning of this year, the popular cryptocurrency crashed, although it promised investors a certain level of stability by coupling their currency via an algorithm to the dollar, which automatically increased or reduced the number of coins in circulation.

The crash destroyed $ 40 billion in the owner's funds and triggered concern with supervisory authorities around the world about what could happen if the industry would continue to grow at its current pace without additional consumer protection.

Members of the congress said that regulation of the stablecoin industry is their first priority. You are about to agree on a draft that would put the industry under the patronage of the Federal Reserve and introduce a two -year ban on algorithmic stable coins such as Terrausd.

However, the members have not agreed on how strict consumer controls for stablecoin buyers should be, even how much the Fed should have about the industry.

Long -term questions - such as whether cryptocurrencies generally should apply to regulating raw materials as securities to be regulating from the SEC or the commission - are removed from an agreement.