U.S. Fed Recognizes USDC and USDT Stablecoins
Federal Reserve Governor Lael Brainard, appointed by President Biden to serve as vice chair for oversight at the Fed, issued a warning Friday about the rapid rise of stablcoins. Before the 2022 U.S. Monetary Policy Forum, Brainard predicted:
"If current trends continue, only one or two issuers may dominate the stablcoin market in the future."
Brainard described a "crypto-financial ecosystem" - particularly decentralized finance (DeFi) - as responsible for driving demand for stablecoins, which has led to rapid growth. Brainard also warned that the prominence of crypto advertising shown at the Super Bowl should be a signal of the increased exposure of Stablecoin to retail investors.
