The Underlying Trends of Stablecoin Regulation in the US and Europe: On the Surface, Each is Doing Their Own Thing, but Are They Really Heading in the Same Direction?

[Chain News] The Swedish Central Bank recently published a research report, which is quite interesting—on the issue of stablecoins, the United States and Europe seem to be regulating separately on the surface, but in reality, they are getting closer and closer.

They focused on three key points: Can the stablecoin issuer connect to the Central Bank settlement system? Can they use Central Bank reserves as collateral? Can they obtain liquidity support? The current situation is that, according to legal texts, both the US and Europe say it is possible to use Central Bank reserves, but when it really comes to operation? There are still quite a few hurdles.

The European Central Bank has indeed opened the door for some non-bank payment institutions, allowing them to open accounts at the Central Bank to hold some balance for transaction flows. However, that said, if you want to use this money to back stablecoins? That's not possible; that line hasn't been loosened yet.