The U.S. central bank’s highly anticipated FedNow Service has been launched, enabling instant money transfers for banks and credit unions, available 24/7 throughout the year. Emphasizing that it is not a digital currency, the Fed aims to stay ahead in the evolving payment landscape.
The GAO’s recent report urges Congress to take legislative action, calling for comprehensive oversight of non-security crypto assets and stablecoins. With an emphasis on protecting consumers and investors from unfair practices and establishing uniform reserve standards, the GAO emphasizes the need for a proactive regulatory approach.
Many are asking if the FedNow will have an app? The Fed itself will not roll out an app that consumers can download directly and use as an alternative to Venmo or PayPal. But banks and credit unions that sign up can develop their own offerings for customers.
#FedFAQ: Will there be a FedNow app for me to use?
Learn more about the #FedNow Service: https://t.co/LnQgBYRtd9 https://t.co/IXF8dyyBWq pic.twitter.com/MUd8QwTjbA
— Federal Reserve (@federalreserve) August 3, 2023
Meanwhile, the SEC charges Quantstamp for conducting an unregistered ICO, while the CFTC files a complaint against two individuals involved in a multi-million-dollar commodity pool scheme, both demonstrating the ongoing efforts to enforce regulations in the crypto space. On a positive note, the DOJ consolidates its cryptocurrency enforcement efforts, enhancing its capabilities to combat cybercrime effectively.
Yet, despite these measures, hackers continue to pose a significant threat. The recent attack on CoinsPaid resulted in a staggering $37.3 million loss, suspected to be orchestrated by the Lazarus Group, while a DeFi protocol suffered a $3.6 million theft due to a smart contract vulnerability.
As the financial landscape embraces innovation and adapts to emerging technologies, the balancing act between progress and security becomes critical to ensuring a thriving and secure financial ecosystem.
