๐Ÿšจ Heiyan says stablecoins need to remain equivalent to bank deposits ๐Ÿง 

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- Heiyan noted that if stablecoins are to function as regulated settlement assets, they must be interchangeable with bank deposits and central bank money.
- This view was presented by Heiyan at the media briefing on the first day of the European blockchain conference.
- Regulators require stablecoins to be recognized across the entire banking system to ensure their payment functionality. ๐Ÿ”ฅ

- Limited convertibility of stablecoins could reduce market demand, and in the short term prices may face pressure.
- If regulation is further tightened, capital outflows are expected to accelerate, potentially triggering a wave of selloffs.
- Large whale accounts showing allocation or low-level accumulation behavior may further increase volatility.
- In the short term, market sentiment is likely bearish; a downward trend is expected, accompanied by panic-driven volatility.

- How do you think regulatory requirements will affect the long-term development of stablecoins?

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