Odaily Planet Daily News: Jaret Seiberg from TD Cowen Washington Research Group stated that the resignation of Federal Reserve Vice Chairman for Regulation, Barr, is not a victory for large banks as it appears on the surface.
Seiberg stated in a report on Monday, "The Democratic Party will retain its majority in the Federal Reserve until early 2026, and given the need to confirm new regulatory agencies, it is difficult to see significant progress in relaxing regulations this year
Barr has called for regulation of stablecoins over the past year and stated that stablecoins "borrow the trust of central banks". The Federal Reserve is very keen to ensure that any stablecoin issuances operate within an appropriate federal prudential regulatory framework so that they do not threaten financial stability or the integrity of the payment system, "Barr said at a meeting held in Washington D.C. in October 2023.
For many years, legislators have been drafting bills to regulate stablecoins, but the crux of the matter lies in how to allocate regulatory power to states and the federal government. （The Block）
Yesterday, it was announced that the Federal Reserve's Vice Chairman of Regulatory Affairs, Barr, will resign on February 28, 2025. The Fed statement stated that Barr will continue to serve as a member of the board, but does not intend to participate in major rule making work until a successor to the Vice Chairman position is determined. In a statement, the Federal Reserve stated that the risk of "controversy" over his position may distract the Fed's attention.
