HSBC CEO supports CBDC against cryptocurrencies and stablecoins

HSBC, Europe’s largest bank with total assets of US$3 trillion, is skeptical of cryptocurrencies while promoting the development of central bank digital currencies (CBDC).

HSBC Group CEO Noel Quinn wrote an article entitled “New forms of digital currency can stimulate growth”, which outlines the company’s commitment to support the CBDC concept because it provides a transparent fiat currency designed to avoid Cryptocurrency and stable currency.

release On Tuesday, this article argued that global CBDC efforts such as the Chinese digital renminbi are “a new form of digital currency”, while private currencies, including the form of stablecoins, themselves “are nothing new.” “Current commercial bank currencies are privately created and widely used. But commercial bank currencies are anchored by central bank currencies and are closely regulated, reflecting its systemic importance,” Quinn wrote.

The CEO continued to say that as the industry’s adoption rate further increases, stablecoins and cryptocurrencies will require regulation commensurate with the level of related risks. “Even so, only designs that are sufficiently anchored to achieve price stability and comply with current methods of preventing financial crimes can be used as a reliable and safe payment method,” he added.

While expressing doubts about cryptocurrency, Quinn emphasized that HSBC will continue to deepen the cross-border payment experience and the development of global CBDC. He pointed out that the bank has been actively cooperating with many central banks, including the central banks of the United Kingdom, France, Canada, Singapore, China, Hong Kong, Thailand and the United Arab Emirates, to contribute to its CBDC projects.

HSBC is one of the largest banking institutions in the world. It is said that Together with investment giant BlackRock, they became one of the biggest debt buyers of troubled Chinese real estate developer Evergrande. Compared with BlackRock, Recently actively entered the field of encryption, HSBC has become one of the biggest doubters of Bitcoin (Bitcoin) And the entire encryption industry.

related: The President of the European Central Bank stated that stablecoins are assets, not currencies

In August, HSBC was one of the British banks Choosing to cut off payment channels to Binance Concerns about the customer’s “possible risk”.Before HSBC Blacklist the stocks of business intelligence company MicroStrategy As part of its user policy, customers are prohibited from interacting with cryptocurrencies.

Quinn’s remarks are in The scrutiny of private stablecoins is getting stricter Global financial regulator. On Tuesday, Gary Gensler, chairman of the US Securities and Exchange Commission, once again called for strengthening the supervision of cryptocurrencies. Calling stablecoins “poker chips” In the “Wild West” crypto casino.