Already, regulators are talking about the fact that cryptocurrency is a new shadow bank. For example, Senator Elizabeth Warren expresses this opinion openly.
She is concerned about the fast-growing stablecoin
market. Their value is linked to the value of other assets, including the US dollar, euro, and gold.
Senator Warren said US banks "should consider" banning holding reserves to support private stablecoins. She argues that global financial regulators are paying more attention to stablecoins such as USDT. According to online reports, the Ontario Securities Commission recently banned USDT trading services on Canada's first two listed crypto exchanges, Wealthsimple and Coinberry. In mid-July, US Treasury Secretary Janet Yellen called on the financial authorities to put in place a proper regulatory framework for stablecoins.
Also, former SEC employee Mark Powers pointed to some complex features of the adaptation of US regulations. This applies to both centralized and decentralized exchanges, including cryptocurrency lending and staking markets.
Powers said the SEC will have to decide for crypto companies like Coinbase, which are not their broker-dealers, whether a cryptocurrency lending product qualifies as a security, even if the company's cryptocurrency catalog does not include any security tokens.