Regulators threaten stablecoin actions if Congress fails to act, warning that stablecoin claims may not be backed up by actual deposits

A noted group of financial regulators has said it will move against stablecoins if lawmakers won’t pass a broad measure to rein in the tokens, in what is seen as the latest sign that the Biden regime wants to intervene in cryptocurrencies under the guise that they are a threat to the global financial order.

In fact, the Financial Stability Oversight Council has become fixated on regulating digital assets, as noted in the group’s annual report that was published late last week. The regulatory body “highlighted the dangers posed by climate change, meme stocks and vulnerabilities exposed by the failure of Archegos Capital Management,” Bloomberg reported.

The council, which consists of all the chiefs of U.S. financial agencies, has become increasingly active over the past year since Joe Biden was gifted the presidency after remaining mostly dormant during the successful Trump administration.

Even as the regime prints money like it’s going out of style, the regulatory panel claims that “purported reserves backing stablecoins” are not trustworthy and that losses could wind up trigging a panic that mimics runs on banks. In November, for instance, the President’s Working Group on Financial Markets called on lawmakers to tackle the issue, passing legislation that establishes bank-like rules for crypto coin issuers — as though the current crop of congressmen and women are geniuses when it comes to money given the country’s $29 trillion national debt.

“But the financial council took that one step further in its report Friday, indicating it will consider additional steps ‘in the event comprehensive legislation is not enacted,'” Bloomberg noted, citing the council’s report.

“That could mean directing regulatory agencies to stretch their existing powers to impose some safeguards. In a briefing with reporters, a senior Treasury Department official said FSOC expects — and hopes — that Congress will pass a law,” the outlet continued.

The panel indicated that staffers are already working on a “framework” to deal with problems stemming from over-leveraged hedge funds, but members really want Congress to step in which, truth be told, would likely only make matters worse.

That said, cryptocurrency investigator and expert John Perez recently talked with Natural News founder and editor, Mike Adams, the Health Ranger, about issues pertaining to the topic in a Dec. 6 episode of “The Health Ranger Report” on Brighteon.TV, in which he talked about crypto’s links to globalist leaders as well as problems with one particular stablecoin, Tether.

During the interview, Adams clarified his position on cryptocurrencies, pointing out that he’s not against them at all. Rather, he wants people to know when they may be used for nefarious purposes.

“Some people have misinterpreted my previous coverage of this topic into thinking that somehow, I’m attacking Bitcoin or attacking crypto. We’re actually on the side of distributed finance and liberty, but we have to expose what the globalists are doing,” he said.

“I’m here to warn you that the globalist cabal is attacking crypto. Perez has decoded how the globalists are doing it – how they plan to take down crypto from the peer-to-peer industry in order to discredit that, so they can drive everybody into the globalist-controlled crypto,” Adams continued.

For his part, Perez said his motives for exposing how globalists are attacking crypto are akin to showing people the “hand behind the curtain.”

“[It’s] kind of like the Wizard of Oz, when he said ‘Pay no attention to the man behind the curtain here.’ It looks like the curtains here [are] being lifted,” he told Adams.

He then took aim at Tether for refusing to agree to a financial audit.

“The problem with Tether is that number one, it has not been audited. We don’t know, nobody knows if they have the cash to back up a $65 billion [to] $70 billion market cap. The truth is: They don’t have it. They don’t have cash reserves. If there’s a run on Tether, they’re not going to be able to back it,” Perez noted.

“But after years of refusing to provide any audit of its reserves, Tether published an ‘attestation’ by a Caribbean auditing firm, Moore Cayman,” he said, suggesting that isn’t good enough.

“There’s a possibility that 20 percent to 30 percent of the [commercial] paper that’s backing Tether [is] unaudited. It’s only a letter saying this is what they have; it’s not an official audit with a balance sheet and everything,” Perez noted further.

Read more stories like this at BitcoinCrash.news.

Sources include:

NaturalNews.com

Bloomberg.com