FSB Chair Calls for Global Collaboration on Stablecoin and Private Credit Regulation

Andrew Bailey, Chair of the Financial Stability Board (FSB), has emphasized the need for stronger international regulatory cooperation in light of the rapid expansion of private credit markets and stablecoins. In a letter to G20 leaders, he cautioned that disparities between national regulations and prudential frameworks regarding stablecoins could amplify systemic risks. He proposed creating cross-border compliance mechanisms to address these emerging challenges. Bailey also raised concern over the slow pace of major economies in implementing the Basel III global banking capital standards, urging attention to this pressing issue.