Circle director sees potential in EU payment rules for stablecoins


19 Sep 2023 1:10 PM

Circle Director Patrick Hansen says stablecoins will benefit from the upcoming EU's review of its payment rules....

  • Patrick Hansen, Director of E.U. Strategy and Policy at Circle, believes that the planned review of E.U.'s payment rules will benefit stablecoins.
  • The review aims to regulate electronic payments and the banking ecosystem in the European Union's single market.
  • Eric Ducoulombier, Head of DG FISMA Unit at the European Commission, highlights the benefits of the review, including enabling non-banks to access payment systems and addressing the 'de-risking' problem faced by some Payment Institutions and E-money Institutions.
  • The review also recognizes the possibility of a self-regulatory market space to exist alongside the regulated sphere.
  • Hansen explains that the review will make it easier for stablecoin issuers to open bank accounts and access central bank payment systems, increasing competition in the E.U. payment sector.
  • Stablecoins are cryptocurrencies that aim to maintain a stable value by pegging it to an external reference.
  • Fiat-backed stablecoins have seen significant growth in moving value across their networks, surpassing Mastercard and PayPal.

The overall sentiment of the article is positive. The proposed review of E.U.'s payment rules is seen as beneficial for stablecoins and the payment sector in the European Union.

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You May Ask

What is the purpose of the proposed review of E.U.'s payment rules?How will the review benefit stablecoin issuers?What are some of the benefits highlighted by Eric Ducoulombier regarding the review?What are stablecoins and why have they faced scrutiny?How have fiat-backed stablecoins performed compared to Mastercard and PayPal in terms of moving value?

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