Federal Reserve Chair Jerome Powell addressed the growing role of crypto in financial markets, warning that the sector’s rapid expansion highlights the need for a clear regulatory framework—especially around stablecoins.
Reflecting on a period marked by high-profile fraud cases, Powell noted that while the Fed collaborated with lawmakers to establish rules for stablecoins, those efforts have yet to result in concrete legislation.
Still, he acknowledged that digital assets are gaining mainstream traction and said stablecoins, in particular, have demonstrated broad consumer interest.
Powell called for structured oversight of these instruments, arguing that without appropriate regulation, consumer protection could be at risk.
He also hinted that while the Fed has maintained strict boundaries for banks involved in digital assets, some of those restrictions could be eased in the future.
Even so, Powell emphasized that any regulatory shifts would be carefully measured to ensure that financial stability and consumer safety remain a top priority.
Alexander Stefanov
Reporter at Coindoo
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over 8 years of experience covering the crypto, blockchain and fintech industries, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics.
Source: https://coindoo.com/jerome-powell-crypto-has-gone-mainstream-now-it-needs-rules/