Finance ministers and central bankers from G7 economies strongly support the need to regulate digital currencies, the US Department of the Treasury said in a statement on Monday after a virtual meeting.
German Minister of Finance Olaf Scholz issued a sharply worded statement after the meeting, underscoring his concerns about authorizing the launch of Facebook’s Diem stablecoin cryptocurrency in Germany and the EU.
“A wolf in sheep’s clothing is still a wolf,” Scholz said. “It is clear to me that Germany and Europe cannot and will not accept its entry into the market while the regulatory risks are not adequately addressed. We must do everything possible to make sure the currency monopoly remains in the hands of states.”
US Secretary of the Treasury Steven Mnuchin hosted this year’s 12th meeting of G7 finance officials as Washington prepares to hand over the presidency of the G7 to London next month.
The G7 finance officials discussed ongoing responses to “the evolving landscape of crypto assets and other digital assets, and national authorities’ work to prevent their use for malign purposes and illicit activities,” the department said. “There is strong support across the G7 on the need to regulate digital currencies.”
The officials reiterated their support for a G7 joint statement on digital payments in October, which said they could improve access to financial services, and cut inefficiencies and costs, but should be “appropriately supervised and regulated.”
A stablecoin is tied to a traditional currency or basket of assets, and can be used for payments or storing value.
Facebook in June announced plans to launch a digital currency, but regulators fear that it could destabilize the global financial system.
Tesla Inc temporarily halted some production at its auto assembly plant in California because of problems with its supply chain, but work has begun to resume, CEO Elon Musk told employees in an e-mail on Thursday. “We are experiencing some parts supply issues, so took the opportunity to bring Fremont production down for a few days to do equipment upgrades and maintenance,” Musk said in an all-staff message seen by Bloomberg. The factory was “back up and running as of yesterday,” and would rapidly ramp up to full production of Model 3 and Model Y cars “over the next several days,”
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) was on Thursday set to sell local currency bonds, as it prepared for a spending blitz amid a global chip shortage. The world’s largest contract chipmaker planned to price about NT$16 billion (US$565.25 million) of notes in three parts in an auction, though the actual issuance size might change. The manufacturer would have to contend with a recent rise in rates globally that has sent many corporate bond yields up from record lows in the past few weeks. The debt offering comes at a promising time for the semiconductor industry as the world scrambles its way
MULTI-USE: The arrangement of seats in future vehicles would be different, allowing passengers to do everything they do at home, the CEO of the firm’s EV platform said Electric vehicles (EVs) developed on a Hon Hai Precision Industry Co (鴻海精密) platform would be built like “a smartphone on a different platform,” Jack Cheng (鄭顯聰), chief executive officer of the Hon Hai-initiated MIH Open Platform Alliance, said on Saturday. It would be the ultimate goal to make vehicles built on the platform an extension of the driver’s home, he said during an online presentation. The alliance aims to provide resources to automakers and boost Taiwan’s EV development, with a vision to make an EV its owner’s “second home,” Cheng said. “Whatever they can do in their home, they will be able
‘MAINTAINING MOMENTUM’: The Swedish automaker might pursue plans for an initial public offering, which it had put on hold in 2018, the company said China’s Geely Automobile Holdings Ltd (吉利汽車) and its Swedish affiliate Volvo Cars are putting off earlier plans to merge, wagering that they would be more agile as standalone entities. The manufacturers would preserve their separate corporate structures, while cooperating more closely on electrification, autonomous-driving technology and software, a joint statement said. While they would no longer pursue a combination as announced last year, new listings could be on the table. “This is about maintaining top-line momentum,” Volvo chief executive officer Hakan Samuelsson said in an interview. “A merger isn’t always positive. You risk losing momentum because there’s too much internal focus.” Geely and