June 22 (Cointime) - During a US House Financial Services Committee meeting, Federal Reserve Chair Jerome Powell acknowledged that stablecoins are a form of money, contradicting the SEC's harsh stance on cryptocurrency. Powell stated that stablecoins borrow trust from their underlying issuer and may experience runs if their reserves do not contain enough high-quality assets, highlighting the need for regulation. He also acknowledged the value of crypto as a hedge against volatility and rising inflation, but emphasized that the Fed will always be the main source of trust behind money and will continue to set rates and fiscal policy.