{"id":35362,"date":"2026-05-08T09:26:07","date_gmt":"2026-05-08T09:26:07","guid":{"rendered":"https:\/\/www.europesays.com\/europe\/35362\/"},"modified":"2026-05-08T09:26:07","modified_gmt":"2026-05-08T09:26:07","slug":"ecbs-lagarde-says-stablecoins-pose-risks-to-banks-monetary-policy","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/europe\/35362\/","title":{"rendered":"ECB\u2019s Lagarde Says Stablecoins Pose Risks to Banks, Monetary Policy"},"content":{"rendered":"<p>Christine Lagarde said euro-denominated stablecoins could lower funding costs in the short term, but the price would be high.<br \/>\nThe ECB warned in a report that broad adoption of stablecoins could pose major risks to euro-area banks and monetary sovereignty.<br \/>\nLagarde said the best way to strengthen the euro\u2019s international role is through the digital euro, capital-market integration, and a larger base of safe assets.<\/p>\n<p class=\"_feedSummaryContent-module-scss-module__B3djzW__newsAnalyticsTitle\">Forecast Trend Report by Period<\/p>\n<p><img decoding=\"async\" src=\"https:\/\/www.europesays.com\/europe\/wp-content\/uploads\/2026\/03\/Indicator.png\" alt=\"Loading Indicator\" data-hide-on-theme=\"light\" class=\"h-full w-full object-cover\" style=\"animation:var(--animate-spin)\"\/><img decoding=\"async\" src=\"https:\/\/www.europesays.com\/europe\/wp-content\/uploads\/2026\/03\/Indicator-dark.png\" alt=\"Loading Indicator\" data-hide-on-theme=\"dark\" class=\"h-full w-full object-cover\" style=\"animation:var(--animate-spin)\"\/>See more mid- to long-term trend analysis<img decoding=\"async\" src=\"https:\/\/www.europesays.com\/europe\/wp-content\/uploads\/2026\/05\/b8be707c-a300-49e2-8430-4ff8baa83ee6.webp\" alt=\"Photo: Shutterstock\" width=\"646\" role=\"presentation\" fetchpriority=\"high\"\/>Photo: Shutterstock<\/p>\n<p>European Central Bank President Christine Lagarde voiced opposition to the introduction of euro-denominated stablecoins.<\/p>\n<p>In a speech on May 8, Lagarde said euro stablecoins could lower euro-area funding costs in the short term and expand the currency\u2019s international reach. But, she added, the price would be high, Bloomberg reported.<\/p>\n<p>That cost would outweigh any near-term improvement in financial conditions or boost to the euro\u2019s global role. Stablecoins are not an efficient way to strengthen the euro\u2019s international appeal, she said.<\/p>\n<p>Most stablecoins are currently pegged to the US dollar. Their rapid growth has fueled debate in Europe over whether the region needs its own stablecoin. Joachim Nagel, president of Germany\u2019s Bundesbank, raised the need for a euro stablecoin in February.<\/p>\n<p>The ECB warned in a report released in March that broad adoption of stablecoins could pose major risks to euro-area banks and monetary sovereignty. The risks are even greater for stablecoins linked to foreign currencies such as the dollar, the central bank said.<\/p>\n<p>Europe\u2019s task is not simply to copy tools developed elsewhere, Lagarde said. She also said the ECB is pushing ahead with the digital euro, a central bank digital currency, while improving wholesale payments infrastructure.<\/p>\n<p>The best solution remains the same: integrating capital markets through a savings and investment union and, over the longer term, building a safe-asset base that matches the euro\u2019s international role, she added.<\/p>\n","protected":false},"excerpt":{"rendered":"Christine Lagarde said euro-denominated stablecoins could lower funding costs in the short term, but the price would be&hellip;\n","protected":false},"author":2,"featured_media":35363,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2480],"tags":[2697,2691,2700,2689,2690,2696,2695,2693,2692,2694,2699,763,2487,2486,2485,2698],"class_list":{"0":"post-35362","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-euro-zone","8":"tag-bitcoin","9":"tag-bitcoincommunity","10":"tag-blockchain","11":"tag-bloomingbit","12":"tag-coincommunity","13":"tag-coininfo","14":"tag-coininvest","15":"tag-coinnews","16":"tag-coinreview","17":"tag-coinstats","18":"tag-cryptocurrency","19":"tag-ethereum","20":"tag-euro-area","21":"tag-euro-zone","22":"tag-eurozone","23":"tag-solana"},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/posts\/35362","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/comments?post=35362"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/posts\/35362\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/media\/35363"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/media?parent=35362"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/categories?post=35362"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/tags?post=35362"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}