According to ChainCatcher, Lorenzo Bini Smaghi, chairman of Societe Generale, wrote that Europe faces the risk of being marginalized in the digital financial ecosystem. 99% of the world's stablecoins are issued by the United States and denominated in US dollars, and the euro has almost no presence in emerging fields.
The EU introduced the MiCA regulatory framework, requiring stablecoin issuers to hold high liquidity reserves, but cultural risk aversion hinders innovation, and European banks view stablecoins as a threat. The article points out three major misunderstandings: underestimating the value of tokenization technology; mistaking it for being able to isolate the impact of global stablecoins; and failing to realize that it negatively endangers monetary sovereignty.
The article emphasizes that the ECB has the institutional advantages to lead the regulation of stablecoins. Now is a critical time to reverse the impression of "over-regulation". If it hesitates any further, Europe will lose its voice in the future global financial landscape.