The European Union suddenly heads for stable currencies, threatening its best exporters, such as Circle and Paxos (Paxos)

The European Central Bank (ECB) has obtained the support required to prohibit stable currencies within the European Union, in a decision that could be a threat to senior currency exporters such as Circle and Baxos, in particular since stable currencies “emit multiple” represent the controversial court in progress due to the possibility of the issue of their simultaneous assets within the framework of the European Union and abroad with the possibility of The possibility of the possibility of breaking its assets internally without reference.

This model requires the European Union license issues to keep cash flow reserves parallel to the supply of the Union’s borders, while its outdoor partners manage parallel reserves for another supply of the same currency, which has prompted the regulatory authorities – according to Bloomberg – to the allocation of the acceleration of investors to be rebuilt of their monetary monetary markets during walk; This is pressure on parallel local reserves and exhibits the group to financial obligations outside of its regulatory coverage.

The European Central Bank, Christine Lagarde, pays the stable currency models which he considers a financial threat to the advantage

The European Council for Systematic Risk (ESRB) has approved – according to informed sources – one of the recommendations that stipulate the ban on stable currency models mentioned above, and this advice includes a high group of banking leaders and European officials chaired by the director of the European Central Bank Christine Lagarde.

Although these directives are not legally binding, they increase the pressure on the authorities of the European Union to make the decision to adopt this prohibition or to find a different means of protecting financial stability, and the Council and the Central Bank have refused to comment on this issue, while Agard has repeatedly warned the vulnerabilities of the law regulating the Mica markets which leaves the Union of the rinses several times.

For its part, Lagarde, during one of the conferences of the European Council, alerted the structural risks resulting from the risk of the multilateral version of the stable currency balances without strict control over the entities operating outside the European Union; Which can present a systematic risk similar to the international banking transfers crisis; When the crisis witnessed the disturbance of financial systems due to gaps and the disparity between liquidity and the sales.

Lagarde also underlined the need to develop budgetary systems and strict protection for international asset processing activities, under the penalty of the prohibition of multiple models in the European Union, in a decision which reflects the fear of the European Union to destabilize its financial independence because of the stable currency which is represented by the value of the euro (USD). Stable currencies of $ 230 billion, while the stable currencies supported by dollars represent 99% of its total value.

The European bank councilor of the Central Bank, Jürgen Schaf, warned against increasing dependence on stable currencies supported by dollars and the impact of this on the effectiveness of monetary policies of the European Union.

Here, Serkel and Boxos – the two workers mainly in the United States – are the most affected by the potential ban; When the US dollar and the short -term US government obligations are the majority of their parallel reserves, while the Finnish and French organizers – the supervisor of the work of the two companies within the European Union – refused to comment on the possible consequences of the proposal.

Representatives of the two companies also refused to comment, while informed sources have spoken of the former European Commission support for several models, without adopting the official position commission so far with the continuous division of European institutions, while the European Central Bank takes a strict position despite the preference of certain legislators for clear preventive measures instead of the complete prohibition.

The Board of Directors of the Spanish Bank Judith Arnal published a research document in which it warned against the differences between the Central Bank, the UNHCR and the European Parliament and its possibly negative impact on the reliability of the Act respecting the Mica Market Regulation as a global standard.

This stage has coincided with European discussions on the development of the digital currency of the euro proposed by the European Central Bank in 2021 and is still awaiting legislative approval so far, while Francfurt officials are talking about the need to find a European alternative in the middle of the domination of stable currencies supported by US dollars.

Critical interaction continues with the will of the European Union to launch the digital euro in 2029

The European Central Bank balances modern traditions and approaches during simultaneous work on digital and traditional currencies, while European lenders are preparing their own stable and support in the euro, and a member of the Central Central Central Bank, Piero Cipolone, in August, confirmed the remaining euro part despite the rapid increase in digital transactions.

Cibuloni spoke in an article on one of the blogs on the coexistence of the traditional euro with its digital counterpart which will soon be published, describing this system as “double payment”, and more than 1.6 euros of euros in paper currencies is currently negotiated with growing demand, in particular in times of crisis.

In the same level, the European Central Bank proposed legislation to protect access to cash currencies, even in the event that automated exchange devices and banks of banks are rejected by the union, so that attention is currently turning to the digital euro; When Siboloni suggested – in September – the launch of the currency in 2029, after many financial ministers in the euro zone agreed with a set of disputed questions, including the limits of customer sales to protect deposits.

The legislators are expected to take a clear position by May 2026 while the negotiations are currently continuing, and European officials have stressed the need to launch the European digital currency to counter the growing impact of the Euro supported in 2026.

The project’s headquarters will be placed in the Netherlands and will obtain a license for the digital program of its government funds, as it will be organized according to the framework of the European Union law for the regulation of the Mica markets (Mica), and the banking group said that this initiative aims to improve the strategic independence of international operations.

This joint initiative intervened after the launch of a general company of a stable and sustained currency of the stellar blockchain of Bluecine.

The post, the European Union, suddenly heads to ban stable currencies, threatening its best exporters, such as the circle and paxos (Paxos) appeared first on Arab Cryptonews.