During a recent talk with lawmakers in Congress, U.S. Treasury Secretary Janet Yellen talked about how cryptocurrencies can be risky for the financial system. Yellen, who heads a group called the Financial Stability Oversight Council (FSOC),pointed out problems with stablecoins, sudden rushes of people taking money out of crypto platforms, and how prices of cryptocurrencies can change a lot. Explaining that the FSOC is working on ways to tackle these risks. Teaming up with Congress to create new laws about these digital currencies. Yellen’s concerns towards crypto 
Yellen pointed out that the FSOC is paying close attention to digital money and the risks involved. These risks include situations where lots of people rush to take their money out of crypto platforms all at once, problems caused by prices changing too quickly, and the rise of platforms that don’t follow the rules. The council, composed of heads of various U.S. financial agencies, aims to preemptively address potential threats to financial stability, with <a href="https://news.todayq.com/imf-and-fsb-call-for-central-bank-empowerment-to-safeguard-against-crypto-risks/" target="_blank" rel="noopener noreferrer nofollow">crypto risks</a> being a key area of attention.
“The council is focused on digital assets and related risks such as from runs on crypto-asset platforms and stablecoins, potential vulnerabilities from crypto-asset price volatility, and the proliferation of platforms acting outside of or out of compliance with applicable laws and regulations,” Yellen stated in her prepared testimony.
Yellen repeated that it’s important to ensure that existing rules are followed. Also proposed making new laws to manage stablecoins. The normal buying and selling of cryptocurrencies that aren’t seen as securities. Her promise 
Even though Yellen didn’t bring up any new ideas, the fact that she talked about digital assets shows that the <a href="https://news.todayq.com/u-s-government-emerges-as-one-of-the-largest-bitcoin-holders/" target="_blank" rel="noopener noreferrer nofollow">U.S. government</a> is still keeping an eye on the possible dangers linked with cryptocurrencies. Yellen pointed towards the need to work together, saying she’ll keep collaborating with Congress to make new laws. Laws that protect the financial system from the risks connected to crypto.
In a related development, the global crypto market currently holds a market cap of $1.64 trillion, experiencing a marginal 0.11% increase in the last day. The total crypto market volume over the past 24 hours has seen a substantial 21.95% rise, reaching $42.96 billion. Of this volume, decentralized finance (DeFi) contributes $4.15 billion, constituting 9.65% of the total crypto market 24-hour volume.&nbsp;
Stablecoins, known for their price stability, account for a significant portion of the market volume, totaling $39.64 billion, representing 92.28% of the total crypto market 24-hour volume. Bitcoin, the leading cryptocurrency, currently holds a dominance of 51.15%, showing a slight decrease of 0.04% over the day.
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Yellen flags Crypto risks in Congressional Testimony

Todayq News

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