China's Lujiazui Forum unveiled measures to expand offshore RMB finance, challenging US dollar dominance. While full replacement is unlikely, Beijing methodically builds infrastructure to reduce dollar dependence, posing a geopolitical threat.
ECB's Isabel Schnabel warns stablecoins could mirror money market fund risks and strengthen the US dollar's global role. She advocates for modernizing public money via digital euro and tokenized central bank settlement to ensure financial stability.
Europeans drive 38% of stablecoin transactions, yet euro-denominated tokens form only 0.3% of supply. EU finance ministers met in Nicosia to discuss this gap, with the ECB opposing looser rules and central bank funding for euro stablecoins, fearing bank deposit outflows and weakened monetary policy transmission.
