Page 77 - Q26 -

¥ÿ≈æ“À

However, it is inevitable that there are a number of hybrid-type

(digital) tokens that it could be difficult to group as any particular types of

tokens, and accordingly, it is difficult for regulators to appropriately regulate

such tokens as well as related businesses and intermediaries.

4. Regulating Stablecoins: A Case Study of Libra Coin

4.1 Background Information

It should be noted that the proposed çLibra coiné is a type of

digital asset that was initially proposed as a çglobal currencyé, and hence it

should be regarded as a virtual or digital currency that is intentionally
designed to be used as a means of payment. Therefore, to contemplate

a regulatory framework for the Libra coin, there are a number of laws,
regulations and guidance that should be taken into account. Relevant

laws and regulations can include laws, regulations and policies in relation to

the legal status of stablecoins, laws, regulations and policies in relation to

related activities and businesses, as well as an electronic transactions law.

In addition, apart from its currency characteristic, the value of Libra
coin will also be backed by a reserve of real assets. This can potentially make

its value remain stable, which differs from the majority of other cryptocurrencies
in the world, whose value is volatile. Hence, given this characteristic, many

countries realized the benefits of stablecoins and aimed to put in place proper

regulatory instruments to support their utilization while preventing potential

risks. For example, according to a publication by the G7 Working Group on

Stablecoins, they could contribute to the development of an international

66 ‡≈à¡∑’Ë Ò ªï∑’Ë ˆ˜