Stellar Blockchain Joins JPMorgan, BlackRock on CFTC’s Global Advisory Committee ⋆ ZyCrypto

by Arthur · February 9, 2023

The cross-transfer blockchain is the only layer-1 protocol in the committee.
Others joining the platform include Uniswap Labs and CoinFund.

The developer behind cryptocurrency XLM, the Stellar Development Foundation (SBF), has been admitted to the Commodity Future Trading Commission’s Global Market Advisory Committee (GMAC), joining traditional financial institutions such as JPMorgan, BlackRock and Goldman Sachs.

Part of the role that the SDF will undertake under the relaunched body includes providing guidance on cross-border money transfer issues and the position of stablecoins in the digital asset space. In the announcement, the SDF noted that it was important to inform the commission of all aspects of stablecoins and their use cases, including in humanitarian aid, such as Stellar Aid Assist. The Chamber of Digital Commerce, Uniswap Labs and CoinFund are the other firms in the blockchain sector that are now members of GMAC.

Said Stellar: ”our inclusion in the committee marks another important moment for blockchain. It further recognizes that the future of American markets and our industry are intertwined.” The platform also takes it as an opportunity to contribute to establishing better industry regulations under the outfit. The US regulators have been blamed for not providing clear guidance to the industry.

Layer-1 Blockchain seeks to partner with TradFis

Stellar believes that traditional financial institutions can work together with their blockchain counterparts in a mutually beneficial collaboration – providing industry stability. In contrast, the other can work with ground-breaking innovations.

The open-source payment network is the only layer-1 blockchain admitted to GMAC – an opportunity it promised to use to bring the regulator’s perspective to its peers – including the challenges of working as a base infrastructure to support decentralized applications (dApps). .)

In direct contrast, while the CFTC is engaging industry players, the SEC is taking a different stance – in light of the ongoing legal battle against Ripple and its executives. The agency sued the blockchain in 2020 for allegedly selling its token XRP as a security. In the case – which is expected to be a game-changer – Ripple’s CEO and defendant Brad Garlinghouse recently expressed optimism that the ruling would come in the first half of the year.