The Federal Reserve Has New Rules for Stablecoins. Circle Could Be The Biggest Winner
The Fed's anti-money laundering rules could strengthen Circle's core business.
Overview
In mid-June, the Federal Reserve proposed new rules for stablecoins. The proposal calls for stablecoin issuers to verify customer identities before opening new accounts or redeeming tokens, effectively applying bank-style anti-money laundering standards to stablecoins.
At first glance, this seems like bad news for Circle (NYSE: CRCL), the issuer of the USD Coin (CRYPTO: USDC) stablecoin. However, those tighter restrictions could actually strengthen USD Coin and make Circle a more compelling investment.
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Originally published at www.fool.com.
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