🚨🚨 IMPORTANT NEWS ALERT 🚨🚨
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⚠️ SWISS REGULATOR ISSUES STABLECOIN WARNING ⚠️
On July 26, the Swiss Financial Market Supervisory Authority (FINMA) issued new guidance, emphasizing the risks posed by stablecoin issuers to their partner banks. FINMA noted that these issuers collect public deposits and should be treated as banks. However, they bypass banking license requirements by partnering with registered lenders to ensure customer repayment in case of default.
The regulator highlighted that this setup exposes both stablecoin holders and banks to significant risks. Any misconduct by the issuers could lead to reputational damage and legal issues for the banks involved due to their contractual obligations.
