Federal Reserve report highlights the growing use of ‘stablecoins’ as a form of cryptocurrency. The value of a stablecoin comes from an underlying asset, such as U.S. dollars, euros or gold. Without proper regulation and controls, these virtual currencies can lead to financial instability as well as security issues. Facebook’s proposed Libra – a type of stablecoin – has raised new interest in the virtual currency market. The Chinese central bank has its own stablecoin offering in the works, and analysts say it could have far-reaching effects.”]
Source: https://www.bankinfosecurity.com/federal-reserve-report-raises-concerns-about-stablecoins-a-13433