Shiba Inu (SHIB), Bitcoin (BTC), Ethereum (ETH) and other cryptocurrencies entered the agenda of the G7 meeting due to the LUNA collapse that shook the cryptocurrency market. Francois Villeroy de Galhau, Governor of the French Central Bank, briefed on the upcoming discussions regarding cryptocurrency regulations in the G7 countries. The Central Bank Governor stated that the recent dramatic events in the market have highlighted the deadly importance of regulation on the Web3.
BTC, ETH, SHIB and other cryptocurrencies to be discussed at the G7 meeting
According to a Reuters report, French Central Bank Governor Francois Villeroy de Galhau said that regulations concerning all cryptocurrencies including BTC, ETH and SHIB He said that the upcoming G7 meeting in Germany will be the focus.
Francois Villeroy de Galhau emphasized that this issue was added to the agenda amid the unique turbulence caused by the collapse of Terra USD (UST) and Terra (LUNA), which had an earthquake effect in the crypto money market last week. During the ongoing global emerging markets conference in Paris, the Governor of the French Central Bank said:
The recent events are a wake-up call for the urgent need for global regulation.
As we have previously covered in Cryptokoin.com news, G7 finance chiefs have started discussing cryptocurrency regulation regularly since Q4 2020. These discussions largely focused on CBDCs and stablecoins.
UST collapse may cause new restrictions for cryptocurrencies
The imbalance that started with Terra USD (UST) losing its dollar peg, which you follow closely on Kriptokoin.com news Due to the Anchor Protocol (ANC) problem combined, this caused the UST to disintegrate and Terra (LUNA) to crash. This collapse led to billions of dollars in liquidations in the cryptocurrency market and a total market carnage.
In the wake of these developments, US Treasury Secretary Janet Yellen stressed that this collapse reinforces the urgent need for a new regulatory framework on crypto and stablecoins. At the same time, Member of the US House of Representatives Tom Emmer criticized attempts to speed up the adoption of the regulation.
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