Chairman of the European Banking Authority: Stablecoins will become more important as a payment method in the future, but they need reasonable supervision

Jose Manuel Campa, chairman of the European Banking Authority (EBA), said that stablecoins will become more important as a payment method in the foreseeable future, just as private payment systems now supplement central bank funds, but they must comply with reasonable supervision, including respecting anti-money laundering laws.

Campa said central banks should veto large stablecoins if they fear they could upend monetary policy, citing concerns that using permissionless blockchains could be financially unsound. Central banks should have the power to veto the introduction of so-called stablecoins if they affect financial stability or monetary policy. (CoinDesk)