Hansen remarked that the planned study would make creating bank accounts for stablecoin producers simpler.
In a September 19 X (formerly Twitter) post, Circle’s Director of E.U. Strategy and Policy Patrick Hansen argued that stablecoins would profit greatly from the upcoming reform of E.U.’s payment laws since it would allow issuers to access central bank payment systems.
On June 28th, the European Union’s proposed revisions to its payment rules—known as the Third Payment Services Directive (PSD3) and Payment Services Regulation (PSR)—were made public. The plan’s goal is to standardize electronic payments and the financial system throughout the European Union.
The European Commission’s Head of the DG FISMA Unit, Eric Ducoulombier, commented on the evaluation, calling the recommendations “evolutionary” for the payments industry.
Ducoulombier emphasized several positive aspects of the analysis, such as: “[The amendment of] the Settlement Finality Directive (SFD) to open up the financial services sector to companies outside of banking. We also suggest solutions to the reoccurring ‘de-risking’ issue experienced by certain PIs and EMIs, which should greatly enhance their ability to establish and maintain bank accounts.”
“In other words, it should be explicitly acknowledged that a self-regulatory market sector might exist alongside the regulated area. That the European Payments Council (EPC) is getting so much credit for initiatives like the SEPA Payment Account Access (SPAA) program is huge.”
Hansen said the proposed revision will make it simpler for stablecoin producers to obtain bank accounts. He also said the assessment was a welcome development that would stimulate competition in the European Union’s financial services market.
“There should be fewer barriers to entry for stablecoin (EMT) issuers when it comes to establishing bank accounts and gaining access to central bank payment systems.”
Stablecoins are digital currencies that aim to maintain a stable value relative to another asset or index. Since Terra’s algorithmic UST stablecoin failed last year, these investments have been under close examination. After this, authorities all over the world took steps to better control the sector and forestall a repeat of the disaster.
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