Bank of England Governor Warns Against Stablecoin 🪙 Issuance ✨😳
According to Cointelegraph, Bank of England Governor Andrew Bailey has issued a cautionary statement regarding the issuance of stablecoins by banks, emphasizing the potential systemic risks they pose to financial institutions. Bailey suggested that the Bank of England should prioritize the tokenization of deposits instead. He expressed concerns that stablecoins could destabilize the financial system and undermine sovereign governments' control over their currencies. In an interview with The Sunday Times, Bailey also advised against the adoption of a central bank digital currency (CBDC) or the launch of a centrally-managed digital fiat token by the UK’s central bank.
