US Treasury Secretary Janet Yellen today called on Congress to pass legislation that would provide clarity and regulation in cryptocurrency markets. In a hearing with the U.S. House Financial Services Committee, Yellen emphasized the need for federal authority to regulate stablecoin issuers and wallet providers.
Yellen's call for regulation is aimed at closing gaps in consumer protection and financial stability protections, according to officials. Yellen noted that the Financial Stability Oversight Council and the President's Working Group on Financial Markets have identified stablecoins and the spot market for non-securitized crypto assets as areas that need formal regulatory authority.
In addition to her comments on crypto markets, Yellen also made various statements regarding the current state of the US economy. He argued that the labor market is at least as strong as it was before the pandemic. However, he expressed concerns about the commercial real estate sector, particularly the stress on property owners due to high vacancies and refinancing of real estate loans.
He also added that the Financial Stability Oversight Council (FSOC) is very focused on the commercial real estate sector.
*This is not investment advice.