Stablecoins Expected to Fade as Central Bank Official Bets on Rise of Tokenized Bank Deposits - Tekedia

A Bank of England policymaker said tokenized bank deposits could surpass stablecoins within about five years.

Megan Greene argued they would combine blockchain efficiency with bank oversight, making them a better fit for digital money.

She warned stablecoins could pull deposits from banks, reduce lending capacity, and complicate monetary policy.

Fed official Christopher Waller pushed back, calling stablecoins a legitimate payments innovation that can boost competition and cut costs.