European Stability Mechanism President Pierre Gramegna stresses the need for proper oversight of stablecoins to ensure financial stability, while advocating for euro-backed alternatives.
European Stability Mechanism President Pierre Gramegna warned that stablecoins lacking proper backing and oversight could threaten global financial stability. While supporting the technology, he emphasized that they must operate under secure frameworks. He also advocated for the development of euro-backed stablecoins, noting the current dominance of USD-backed stablecoins, and suggested that stablecoins could coexist with cash and digital currencies.