The Chairman of the European Banking Authority (EBA), Jose Manuel Campa, has stated that central banks should have the right to veto the widespread implementation of so-called stablecoins if they believe that cryptocurrencies could threaten their monetary policy. This statement was made in London at the Symposium on Central Banks and Digital Currencies, an event organized by the Official Monetary and Financial Institutions Forum (OMFIF), an independent analytical center for central banks, economic policy, and state investments. In accordance with the European Union's Markets in Crypto-Assets Regulation (MiCA), the EBA will be directly responsible for controlling major issuers. On April 20, the European Parliament voted in favor of MiCA, and the legislation established a new regime for crypto asset service providers in EU member states. In addition to licensing requirements, MiCA also allows central banks to intervene in proposals for the issuance of new stablecoins. And it will be necessary to stop the issuance of stablecoins if tokens exceed 1 million transactions per day. Now we can imagine a future in which stablecoins become even more relevant as a means of payment, just as private payment systems complement central bank money today. According to Jose Manuel Campa, stablecoin issuers wishing to operate in the European Union should seek permission, especially in light of concerns raised by US regulators. The US Federal Reserve, the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC) have expressed concern that stablecoins should be under control. It is expected that MiCA will receive final approval from European finance ministers next week, and the new regulatory regime is likely to be implemented in the third quarter of 2024.
