According to a brief testimony released on Monday (5th), US Treasury Secretary Janet Yellen will explain to Congress several potential risks that the cryptocurrency industry poses to the financial system, including the dangers of stablecoins, the run on cryptocurrency platforms, and price volatility.
Yellen will attend a hearing of the House Financial Services Committee on Tuesday to explain the latest work of the Financial Stability Oversight Council (FSOC). In recent years, the council has paid special attention to the risks of cryptocurrencies and considers it one of the top concerns.
In her prepared testimony, Yellen stated:
Yellen stated that she will continue to work with Congress on cryptocurrency legislation and said, “Appropriate regulations and rules should be implemented, and Congress should pass legislation to regulate the spot market for stablecoins and non-securities crypto assets.”
Her brief statement did not disclose any new concerns or initiatives, but the fact that she included digital assets as one of her key issues signifies that the cryptocurrency field continues to be a focus of financial concern for the US government.
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