Former Vice President of Bank of China: Legislation on the entire cryptocurrency asset should be accelerated, and financial institutions such as banks should be encouraged to speed up the on-chain process

ChainCatcher information, former Vice President of the Bank of China, Wang Yongli, said that stablecoins usually are not a necessary and irreplaceable issue for the operation of the on-chain crypto world. The laws of stablecoins will inevitably promote the laws of the entire crypto asset sector, which can profoundly impression the crypto market panorama and could even severely backlash towards stablecoins.

The article analyzes that after the laws clarifies the legality of stablecoins and crypto property, banks and different cost institutions can join with public chains or on-chain buying and selling platforms to obtain on-chain deposits, supporting prospects to instantly convert off-chain fiat deposits into on-chain crypto fiat, thus changing fiat stablecoins as a bridge connecting the crypto world and the actual world. It will cut back the extra steps and prices for non-financial institutions participating in the conversion between fiat and stablecoins. Wang Yongli steered that China’s focus should not be on creating a RMB stablecoin (as the area is sort of restricted), however relatively on reaching a leapfrog improvement by accelerating the laws of the entire crypto asset sector, encouraging banks and different financial institutions to transfer on-chain, actively selling the improvement of RWA, attracting crypto exchanges to register or register in Hong Kong, and rushing up the on-chain operation of the RMB.