Stablecoins not a credible means of payment at scale, BIS chief says
De Cos said stablecoins face interoperability and money-laundering risks, while tokenized deposits can better support everyday payments.
- Addressing the Jackson Hole Economic Policy Symposium on Friday, August 28, Pablo Hernandez de Cos, general manager of the Bank for International Settlements , argued that tokenized deposits outperform stablecoins for everyday payments.
- Stablecoins, designed to maintain stable values, have fueled concerns regarding financial stability and money laundering, particularly in jurisdictions outside the United States, according to the BIS chief.
- De Cos criticized stablecoins for breaking the "singleness" of money and lacking genuine interoperability, noting that money-laundering controls are difficult to apply consistently across platforms.
- Treasury Secretary Scott Bessent has supported stablecoins, arguing they could cement the dollar's position as the world's top reserve currency and create demand for United States Treasuries.
- Although tokenized deposits offer a direct path to harness innovation while preserving monetary system foundations, they must still overcome challenges in interoperability, governance, and legal settlement processes.
11 Articles
11 Articles
Stablecoins not a credible means of payment at scale, BIS chief says
BIS Chief Says Stablecoins Not Credible for Payments at Scale
The Bank for International Settlements is renewing its criticism of stablecoins, questioning their credibility as everyday money as governments worldwide build regulatory frameworks around the tokens. BIS General Manager Pablo Hernández de Cos, a candidate to succeed European Central Bank President Christine Lagarde next year, argued that stablecoins do not credibly function as a means of payment at scale. He said tokenized bank deposits offer a…
BIS assesses global regulation of stablecoins for paymentsBIS: stablecoins are not reliable for scale payments; tokenized deposits are alternative
The general manager of BIS, Pablo Hernández de Cos, said in a speech published in April that stablecoins still face limitations to become the basis for massive payments and defended bank-backed Tokenized Deposits as a more integrated alternative to the monetary system.
BIS Chief: Stablecoins Unlikely To Be Reliable For Large-Scale Payments
BitcoinWorld BIS Chief: Stablecoins Unlikely to Be Reliable for Large-Scale Payments The Bank for International Settlements (BIS) has cast doubt on the reliability of stablecoins for large-scale payment and settlement systems. In remarks delivered at the Jackson Hole Economic Policy Symposium, BIS General Manager Pablo Hernandez de Cos said that stablecoins are unlikely to meet the standards required for widespread financial infrastructure, acco…
Coverage Details
Bias Distribution
- 100% of the sources are Center
Factuality
To view factuality data please Upgrade to Premium
