Bank of England’s Greene: Demand for Stablecoins Could Fade Soon

Odaily Planet Daily News Bank of England Monetary Policy Committee (MPC) member Megan Greene said on Sunday that the hype around stablecoins could soon fade, replaced by tokenized deposits, which are digital versions of traditional bank deposits.

Stablecoins, a type of crypto asset designed to maintain a stable value, have become increasingly popular in recent years. Although issuance has leveled off in recent months, some still expect further growth for stablecoins.

"I think tokenized deposits are very likely to replace stablecoins. Five years from now, we might be wondering why we were even talking about stablecoins," Greene said at a conference in Dubrovnik, Croatia. She believes that central bank digital currencies (CBDCs), stablecoins, and digital deposits all have their market, but once commercial banks realize they risk losing traditional bank deposits if they don't act, digital deposits could emerge as the ultimate winner. (Sina Finance)