A research paper titled “Taming Wildcat Stablecoins,” published in the Social Science Research Network (SSRN) by a professor of finance at Yale, Gary Gorton, and the US Federal Reserve attorney Jeffery Zhang, urges supervision of stablecoins.
According to the authors, regulating issuers as banks and introducing a central bank for digital currency (CBDC) would help avoid historic mistakes, while they describe stablecoins as privately produced money and compare their current landscape to the 19th century’s Free Banking Era.
Wildcat Stablecoins
As per Gorton and Zhang, the Free Banking Era in the United States failure was brought on by the use of private banknotes.
These were, according to the research duo, responsible for the 19th-century chaos and panic and were caused by runs-on-demand deposits and the inability to satisfy the no-questions-asked principle (NQA).
“The newest type of private money is now upon us—in the form of stablecoins,” warned the authors, while argui
Źródło: https://cryptoslate.com/us-feds-want-to-tame-wildcat-stablecoins-like-tether-and-usdc/
