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ECB Sounds Alarm on Stablecoin Threat to Euro Dominance

ECB Sounds Alarm on Stablecoin Threat to Euro Dominance

Published:
2026-03-03 16:30:02
12
2
BTCCSquare news:

The European Central Bank warns dollar-pegged stablecoins—now a $300 billion market—could undermine monetary sovereignty. MiCAR regulations aim to curb risks, while the digital euro project offers a public alternative.

Private stablecoins, 95% dollar-denominated, risk diverting €17 trillion in eurozone deposits away from traditional banks. This capital flight could cripple lending capacity, forcing ECB intervention to preserve financial stability.

|Square

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