Central Banks Warn About the Risks of Stablecoins

Concerns Over the Growth of Stablecoins

Central banks have warned that fluctuations in customs tariffs could lead to devaluation of stablecoins. This situation may trigger fire sales of U.S. Treasury bonds. All these developments indicate that systemic risks threatening global financial stability will increase.

Coinbase's View

Meanwhile, the Chief Policy Officer of Coinbase stated that stablecoins are much safer compared to the traditional risky loans commonly made by some banks. This view serves as a response to criticisms questioning the potential impacts of large buybacks of stablecoins.