BIS General Manager: Stablecoins Lack Credible Large-Scale Payment Capability, Tokenized Deposits Hold Advantage

August 29 news, according to Reuters, at the Jackson Hole global central bank symposium, Bank for International Settlements (BIS) General Manager Pablo Hernandez de Cos stated that stablecoins do not possess the capability for credible large-scale payment means, and tokenized deposits hold an advantage in leveraging new technologies. De Cos listed multiple issues with stablecoins: they could lead to higher bank funding costs and higher interest rates for ordinary borrowers; undermine the "singleness" of money; platforms lack genuine interoperability; anti-money laundering controls are difficult to implement consistently; and the proliferation of dollar stablecoins could erode monetary sovereignty in non-US jurisdictions. US Treasury Secretary Bessent previously supported stablecoins, saying they "could cement the dollar's reserve currency status and create trillions of dollars in Treasury demand."