Swiss Financial Market Supervisory Authority FINMA issues the stable coin guidelines
Swiss financial regulator FINMA issued guidelines regarding the regulation for ‘stable coins’. Stable coin is a term for cryptocurrency that is backed by real assets such as gold, silver, bonds, stocks, or other major currencies (dollar, euro etc.). The guidelines clarify that money laundering, securities trading, banking, fund management, and financial infrastructure regulation applies also to stable coin emissions. In its guidelines, FINMA specifically pointed out the case of Facebook’s cryptocurrency Libra, confirming that the Libra Association requested registration as a payment system under Switzerland law. FINMA regulators hinted that Libra would require international co-ordination from regulators.