JAKARTA – Circle (USDC) CEO Jeremy Allaire, at the World Economic Forum event stated the importance of digital money in today's internet world. The second largest stableecoin boss believes that excessive oversight can be a barrier to the payment system.
The US Securities and Exchange Commission (SEC) and a number of other financial regulators keep a close eye on cryptocurrencies. Strict regulations have hampered the adoption of digital money.
“Many of the policy and regulatory issues that limit the power to move money have to do with stripping people of their economic freedom… Governments have to accept that people want digital money, and this is the product they want,” Allaire said.
Furthermore, he also commented that the lack of infrastructure that supports digital wallets could hinder the adoption of the digital currency itself. Allaire describes the payment system of the future as being as easy as sending an email or making an international phone call.
Then the USDC stablecoin boss gave an example of how messaging apps WhatsApp and others were able to revolutionize the phone calling business. As a result, digital currencies like USDC have the potential to fundamentally change international payment methods.
“If I can go to a place, buy a sim card, and put it in my phone, then I can participate in the global Internet and have an identity to communicate… Why can't I take that mobile identity, download a peer-to-peer digital currency wallet -peer, and using something like USDC?”
In addition to discussing the future of digital money, Allaire also touched on the case of the fall of Terra. He stated that his agency had been monitoring the Terra ecosystem closely in the past six months. Long before its collapse, the TerraUSD (UST) sablecoin was considered very risky because it had an excessive collateral mechanism that triggered a death spiral, reported by CryptoPotato.
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