Moody’s to develop scoring system for stablecoins

Moody’s, the ratings agency, is developing a scoring system for “stablecoins”. It will be based on the assessment of the quality of reports confirming collateral, Bloomberg.

The initiative is at an early stage.

Analysts intend to assign scores for 20 stablecoins. Assignment of a rating in the conventional sense of a rating agency is not envisaged.

The interest is explained by regulators’ and investors’ heightened attention to the sector.

Bloomberg noted the $41 million fine paid by Tether Limited in October 2021 for “false or misleading statements” about full backing USDT.

CryptoCompare noted a drop in the market share алгостейблкоинов from 12.4% in April 2022 to 1.71%. The Terra USD collapse was the cause. The incident prompted heightened attention from regulators worldwide.

US Treasury Secretary Janet Yellen urged the approval of regulation “stablecoins” by the end of 2022. Reports say the proposed bill would introduce a two-year ban on new algorithmic stablecoins similar to Terra USD.

The head of the Monetary Authority of Singapore, Tharman Shanmugaratnam, emphasised that stablecoins require separate regulation.

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