Do the rules mention how client coins stored online are to be treated? Can they be loaned out, used as collateral or any other deal that places client funds at risk?
Anne, good question. The consultation paper of the legislation makes it very clear that issuers of stablecoins are not allowed to engage in lending, paying yield or other financial services. That means they cannot lend out their customers' stablecoins.
Do the rules mention how client coins stored online are to be treated? Can they be loaned out, used as collateral or any other deal that places client funds at risk?
Anne, good question. The consultation paper of the legislation makes it very clear that issuers of stablecoins are not allowed to engage in lending, paying yield or other financial services. That means they cannot lend out their customers' stablecoins.