US Federal Reserve Governor Christopher Waller said on Sunday that the growing use of dollar-backed stablecoins could strengthen the global influence of US monetary policy.
Waller told attendees at the 32nd Dubrovnik Economic Conference that countries that increasingly rely on U.S. dollar-backed stablecoins could effectively import U.S. monetary conditions, Bloomberg News reported Sunday.
“I’ve always viewed stablecoins as a payment instrument; there’s nothing wrong with that, nothing dangerous about it,” Waller said. “They are just introducing competition into the world of payments,” Reuters reported.
Source: 32nd edition of the Dubrovnik Economic Forum Conference
A contrary view was presented by fellow presenter, Bank of England policy chief Megan Greene, who said stablecoins could disappear from view in a few years. She said:
“I think tokenized deposits are probably going to take over from stablecoins and in five years I think we might wonder why we were talking about stablecoins.”
Both were part of a panel discussion titled “Stablecoins and Monetary Policy” at the Croatian National Bank’s annual event.
A long-time skeptic of central bank digital currencies (CBDCs), Waller said enthusiasm for CBDCs has faded among many central banks. The BoE’s Greene disagreed.
“I like to think of it as a massive race between the tortoise, the hare and the rhino.” Greene said. “The tortoise is central bank digital currency…the hare is stablecoins and the rhino is token deposits. We’ll probably end up with all three, but if I had to put money in just one…it would be the rhino, token deposits, which I think will probably take off,” Reuters reported.
Related: ECB rejects euro stablecoin proposals, citing risks to financial stability
Stablecoin policy thwarts US crypto legislation
Debate over U.S. stablecoin yield policy has stalled progress on the U.S. Digital Asset Market Clarity Act, currently under consideration by the U.S. Senate.
The Crypto Market Structure Bill is one of the most significant pieces of crypto regulation in the United States, but it’s unclear if it will be implemented. promulgated in 2026 because of opposition from the banking lobby and the upcoming midterm elections in the United States.
The CLARITY Act, which aims to establish a federal regulatory framework for digital assets transmitted outside the Senate Banking Committee on May 15 after months of debate between banks and the crypto industry over stable coin yield provisions. However, it is necessary always passes through both chambers of Congress before heading to the president’s office.
Wyoming Senator Cynthia Lummis warned on Saturday that the United States would lose its leading position in crypto to other countries, including China, if lawmakers fail to pass legislation this year.
Source: Senator Cynthia Lummis
“America built the dollar-dominated financial system that anchored global stability for a century. The Clarity Act ensures that we build the next one. The time to act is now, before Beijing decides to do so,” Lummis said in an X message. job.
Learn: Why banks are fighting stablecoins after setting the rules
