Reported 14 days ago
Federal Reserve Governor Michael Barr voiced concerns about the rapid growth of stablecoins during a speech at DC Fintech Week, highlighting the potential risks they pose to financial stability. While acknowledging their innovative benefits, he cautioned that the creation of private money can lead to vulnerabilities, particularly during market stresses. Barr noted that unregulated stablecoins are backed by various non-cash assets, which could amplify risks and disrupt other financial markets.
Source: YAHOO