According to PANews, Bank of England Governor Andrew Bailey has issued a warning regarding the potential threat posed by stablecoins backed by the U.S. dollar. Bailey highlighted concerns that the widespread adoption of these cryptocurrencies could undermine public trust in traditional currencies.
In a speech released on Thursday, Bailey emphasized the need for central banks to "closely monitor" innovations in the payment sector to prevent new vulnerabilities in the monetary system. His remarks come amid growing expert warnings about the implications of stablecoins on financial stability.