Bloomberg warns stablecoin adoption could risk global financial system

Bloomberg has pointed out that stablecoins could introduce new risks to the global financial system if they become a core part of future monetary infrastructure. The report noted that while tokenization technology can enhance settlement efficiency and reduce transaction costs, the U.S. government is effectively adopting privately issued, dollar-pegged stablecoins as an alternative to a central bank digital currency (CBDC). Bloomberg argued that stablecoins are essentially private IOUs dependent on the issuer's credit, which could undermine financial market stability in the event of a large-scale redemption event or operational failure. Concerns also persist regarding the accounting transparency and anti-money laundering (AML) frameworks of Tether, the world's largest stablecoin issuer. The report suggested that major jurisdictions like the European Union (EU) should either build tokenized currency systems based on central bank deposits or pursue the development of a CBDC, explaining that the financial chaos caused by the private currency systems of the 19th century should not be repeated.