Basel Committee plans consultation on stablecoin risk treatment

Basel Committee on Banking Standards, a global bank standard setter, plans to discuss potential revisions to stablecoin standards. This news was released after the committee evaluated the elements of the bank's cryptocurrency risk-prudent standards released in December last year.

The Basel Committee hopes to negotiate standards for stablecoins to obtain regulatory treatment for group 1b, which refers to "cryptographic assets with effective stability mechanisms." It also agrees to continue monitoring changes in bank cryptocurrency custody activities and consider whether additional work is needed.