Fed Member Miran Draws Attention to the Economic Impacts of Stablecoins

Stephen Miran, a member of the Fed appointed by former President Donald Trump, emphasized the impacts of dollar-based crypto assets, particularly stablecoins, on the economy in a speech to economists in New York. Miran stated that the inflow of such assets could lower neutral interest rates. This situation could affect economic balance without accelerating or slowing down growth.

According to a report by CNBC, Miran warned that if this scenario occurs, the Fed might have to lower its policy interest rate to avoid unintentionally slowing down the economy. He highlighted that making such a leadership decision could have wide-ranging implications for the economy.

Miran's statements pave the way for important discussions about global economic growth dynamics and the role of stablecoins in this context. The scenario he proposed could not only expand the impact of increasing demand for dollar-based cryptocurrencies in the markets but also lead to the stablecoin market, which has become a trillion-dollar 'elephant,' growing into a critical economic factor.

With this growth, it is essential to note that pressure on the Fed regarding monetary policy may increase, and consequently, the current economic fundamentals of the United States could come under strain. Particularly in international markets, the fluctuations of dollar-indexed assets can also directly affect the monetary policies of other countries.

Miran's comments indicate a developmental process that investors should watch closely. In the upcoming period, the decisions made by the Fed and the evolution of the stablecoin ecosystem may have a decisive impact on the nature of the economy.