Ex-BIS Chief Carstens Now Backs Stablecoins Alongside Fiat Money
Former BIS general manager Agustín Carstens reversed course on stablecoins, saying they can drive financial inclusion if properly regulated.
Agustín Carstens, the former general manager of the Bank for International Settlements, significantly softened his long-held skepticism toward stablecoins, publicly acknowledging that the digital assets can advance financial inclusion and spur innovation in the global economy. The shift marks a notable departure for one of the most prominent voices of institutional caution in the crypto debate.
Carstens stopped short of an unconditional endorsement, emphasizing that stablecoins must operate within robust global regulatory frameworks before they can realistically coexist alongside traditional fiat currencies. His position reflects a growing consensus among senior policymakers that outright dismissal of digital assets is no longer a viable strategy as adoption accelerates worldwide.
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The former BIS chief's evolution mirrors a broader recalibration happening across central banks and international financial institutions, which are increasingly wrestling with how to supervise rather than simply resist private digital money. Without coordinated cross-border rules, analysts warn, regulatory arbitrage could undermine the very stability that frameworks are designed to protect.
Carstens' comments carry particular weight given the BIS's historical role as a central bank for central banks and his own record of sharp criticism toward cryptocurrencies. His pivot signals that the debate is shifting from whether stablecoins have a place in the financial system to how that place should be defined and governed.
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