The G7 working group said that launching global stablecoins could threaten the stability of the global financial system.
In its statement, the organization describes the various risks associated with the use of digital currencies. The document notes that even if the companies included in the Libra association satisfy all the requirements of regulators, the launch of stablecoin can still be prohibited.
“We believe that no project of a stable currency should start work until the legal, regulatory and supervisory problems and risks are properly resolved. However, even a complete resolution of such problems and risks is not a guarantee of approval of the regulatory authorities to launch a stable currency, ”the statement says.
Representatives of the G-7 also emphasized that global stablecoins have the potential for rapid growth and may jeopardize financial stability in the event that users suddenly lose confidence in a stable coin.
It is reported that the document will be presented for discussion by finance ministers of countries included in the “Big Seven” at the annual meeting, which will be held this week.
Regulators from various countries continue to criticize the Libra cryptocurrency project, and such a statement may further complicate the launch of stablecoin. Recently it became known that some companies have already refused to participate in the project.