Global leaders align stablecoin regulations amid cybersecurity and institutional adoption challenges

Panelists at the WebX 2025 conference explored the evolving regulatory landscape for digital assets, with a focus on stablecoins, cybersecurity, and the challenges of institutional adoption. The session, titled “Cryptocurrency: Global Regulation and Cybersecurity Challenges,” featured key industry figures including Heath Tarbert of Circle Internet Group, Akihisa Shiozaki of the House of Representatives, and Noah Perlman of Binance. The discussion highlighted growing regulatory convergence between the United States and Japan, particularly around stablecoin frameworks [1].

Stablecoin regulation is increasingly aligned globally, with the U.S. Genius Act allowing foreign-issued stablecoins—provided they meet domestic standards—to operate in the U.S. This cross-border recognition mechanism is seen as critical for enabling the global movement of digital assets. Similarly, Japan is reclassifying certain crypto assets under its Financial Instruments Exchange Act to enhance regulatory clarity [1].

The panel also examined the Market Structure Bill, or “Clarity Act,” currently under consideration in the U.S. Congress. While aiming to provide regulatory clarity, the bill has faced criticism for weak consumer protections and ambiguous provisions related to decentralized platforms. These carve-outs, panelists argued, risk creating regulatory loopholes and undermining the bill’s intended purpose [1].

Cybersecurity and artificial intelligence were central themes of the discussion. AI is enhancing fraud detection and reducing user friction, but it is also being weaponized by malicious actors. This dual-edged nature of AI is fueling an “arms race” in the digital economy, with compliance costs for exchanges rising significantly. Panelists emphasized that the industry must adopt operational partnerships and information-sharing mechanisms to combat illicit financial flows [1].

Decentralization remains a contentious topic. While some view it as a tool to avoid accountability, panelists stressed that the industry must find ways to reconcile the immutability of blockchain with the need for asset recovery and trust-building mechanisms. The lack of such “trust primitives” is a major obstacle for decentralized finance, particularly in the context of cybercrime [1].

Despite these challenges, the panel expressed optimism. The rapid adoption of Web3 technologies—such as the WebX Expo Wallet, which has over 700,000 users in Japan—suggests that the industry is moving toward mainstream acceptance. To support this growth, panelists urged industry stakeholders to collaborate on frameworks, engage proactively with legislators, and seek clarity in regulatory requirements [1].

The panel concluded that while the path ahead is complex, a more stable and transparent regulatory environment is achievable through collaboration between regulators, institutions, and the private sector. AI advancements, regulatory convergence, and institutional engagement are key drivers of progress [1].

Source: [1]【WebX 2025】Panel: Bridging regulation, institutional adoption, and industry growth (https://coinmarketcap.com/community/articles/68ad3262d0b57e4d288c3610/)