Public Statements & Remarks

Statement of Commissioner Caroline D. Pham on the CPMI-IOSCO Final Guidance on Stablecoin Arrangements

July 13, 2022

Washington, D.C.— CFTC Commissioner Caroline D. Pham made the following statement today regarding international efforts to set standards for the regulation of stablecoins:

“Technological change has continued to transform markets, with the rise of digital assets and innovations such as stablecoin arrangements to provide transfer functions.  Today, the Bank of International Settlements' (BIS) Committee on Payments and Market Infrastructures (CPMI) and the International Organization of Securities Commissions (IOSCO) issued the report Application of the Principles for Financial Market Infrastructures to stablecoin arrangements.

More than a decade has passed since CPMI-IOSCO first published the Principles for Financial Market Infrastructures (PFMls) in the wake of the 2008 financial crisis. Since then, national authorities around the world, including the CFTC, have implemented the PFMls to ensure that there is a strong and consistent approach for the oversight of FMIs in order to mitigate systemic risk.

Especially in light of recent market events, I want to recognize the timely and important work of the CPMI and IOSCO in addressing how the PFMls may apply to systemically important stablecoin arrangements.  This report is a significant step to establish international standards for stablecoin arrangements and a cohesive regulatory framework that safeguards the global financial system.

I am pleased to see the CFTC's continued international leadership, including as co-chair of the CPMI-lOSCO Policy Standing Group, and would like to recognize in particular CFTC staff Kirsten V. K. Robbins, Bob Wasserman, Matt Jones, and Jason Mahoney.  I look forward to hearing from both the public and private sectors on the implications of this report and recommendations for further action."