France Warns of Stablecoin Risks as US Pushes Regulatory Framework: USDT in Focus

The Bank of France has intensified its warnings about the potential risks associated with stablecoins, creating a notable contrast to the United States' efforts to establish a favorable regulatory framework. Deputy Governor Agnès Bénassy-Quéré emphasized concerns over liquidity, cybersecurity, and fraud vulnerabilities, positioning the discussion as a struggle for monetary sovereignty against the dominance of dollar-pegged crypto-assets like USDT and USDC. With the combined market capitalization of Tether (USDT) and Circle (USDC) reaching $250 billion, France's cautious stance highlights the growing global debate over the role and regulation of stablecoins in the financial ecosystem. As of June 2025, the divergent approaches between Europe and the U.S. could significantly influence the future trajectory of these digital assets, particularly USDT, which remains a cornerstone of the crypto market.

France Sounds Alarm on Stablecoins as U.S. Advances Regulatory Framework

The Bank of France has escalated warnings about stablecoin risks, marking a stark contrast to Washington's push for favorable federal regulations. Deputy Governor Agnès Bénassy-Quéré highlighted liquidity, cybersecurity, and fraud vulnerabilities, framing the debate as a battle for monetary sovereignty against dollar-dominated crypto-assets.

With Tether (USDT) and Circle (USDC) commanding a $250B market, French officials advocate for a digital euro to counter U.S. influence. This doctrinal clash reveals deepening transatlantic tensions as the BIS echoes concerns over stablecoins' systemic dangers.

Tether Envisions AI-Driven Economy Powered by Bitcoin and USDT

Tether CEO Paolo Ardoino predicts a seismic shift in digital finance, forecasting one trillion autonomous AI agents transacting with Bitcoin and USDT by 2040. The stablecoin issuer is actively investing in blockchain infrastructure to support this decentralized future.

Ardoino dismissed traditional banking intermediaries during a recent podcast appearance, emphasizing AI agents' ability to operate independently via non-custodial crypto wallets. Tether's market dominance—with $155 billion USDT in circulation—positions it as a foundational layer for machine-to-machine economies.

The company recently launched developer tools to facilitate AI integration with decentralized financial systems. This strategic alignment between cryptocurrency and artificial intelligence could redefine global value exchange mechanisms within fifteen years.