{"id":77467,"date":"2026-08-30T10:12:45","date_gmt":"2026-08-30T10:12:45","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/stablecoins-still-arent-credible-money-at-scale\/"},"modified":"2026-08-30T10:12:45","modified_gmt":"2026-08-30T10:12:45","slug":"stablecoins-still-arent-credible-money-at-scale","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/stablecoins-still-arent-credible-money-at-scale\/","title":{"rendered":"Stablecoins Still Aren&#8217;t Credible Money at Scale"},"content":{"rendered":"<p><b>(Originally posted on : Bitcoin News )<\/b><br \/>\n<\/p>\n<div>\n<div class=\"@container mb-[25px] rounded-sm overflow-clip py-0.5 pr-0.5 pl-2.5 bg-success-100\">\n<div class=\"flex flex-col gap-m overflow-clip rounded-[6px] !bg-success-10 p-3 @[420px]:p-m\">\n<h2 class=\"m-0 flex items-center gap-s text-[19px] !text-[#1c1c1c] md:text-[20px]\"><svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"16\" height=\"10\" viewbox=\"0 0 16 10\" fill=\"none\" class=\"shrink-0 text-success-100\" aria-hidden=\"true\"><path d=\"M1 1.5h14\" stroke=\"currentColor\" stroke-width=\"2.5\" stroke-linecap=\"round\"\/><path d=\"M1 8.5h10\" stroke=\"currentColor\" stroke-width=\"2.5\" stroke-linecap=\"round\"\/><\/svg><span>Key Takeaways<\/span><\/h2>\n<ul class=\"m-0 flex list-none flex-col gap-m pl-0\">\n<li class=\"m-0 flex items-start gap-s !text-[#434248]\"><span class=\"mt-2 size-2 shrink-0 rounded-full bg-success-100\" aria-hidden=\"true\"\/><span class=\"text-body\">Pablo Hern\u00e1ndez de Cos flagged four failures in stablecoins during his Jackson Hole address.<\/span><\/li>\n<li class=\"m-0 flex items-start gap-s !text-[#434248]\"><span class=\"mt-2 size-2 shrink-0 rounded-full bg-success-100\" aria-hidden=\"true\"\/><span class=\"text-body\">Global stablecoin supply has climbed to $308B as of this month.<\/span><\/li>\n<li class=\"m-0 flex items-start gap-s !text-[#434248]\"><span class=\"mt-2 size-2 shrink-0 rounded-full bg-success-100\" aria-hidden=\"true\"\/><span class=\"text-body\">De Cos urged central banks to prioritize tokenized deposits over stablecoins as part of his commentary.<\/span><\/li>\n<\/ul>\n<\/div>\n<\/div>\n<h2>A Blunt Verdict From Basel<\/h2>\n<p>The BIS is the institution central bankers turn to for standards, not crypto hot takes, which made de Cos\u2019s <a href=\"https:\/\/www.reuters.com\/business\/finance\/stablecoins-not-credible-means-payment-scale-bis-chief-says-2026-08-28\/\" target=\"_blank\" rel=\"noopener noreferrer\">sharp remarks stand out even more<\/a>. Addressing central bankers gathered at the Federal Reserve Bank of Kansas City\u2019s annual retreat, he said stablecoins \u201cdo not yet uphold the foundational properties of money,\u201d a direct rebuttal to an asset class that has spent much of the year marketing itself as the future of digital payments. He further added:<\/p>\n<blockquote>\n<p>The growing adoption of dollar-pegged stablecoins has also raised concerns in some \u200bjurisdictions about monetary sovereignty and the potential for digital dollarization.<\/p>\n<\/blockquote>\n<p>Jackson Hole is usually reserved for interest-rate signaling, not crypto commentary. De Cos used the platform anyway to draw a hard line between what he considers real money and what merely imitates it onchain.<\/p>\n<h2>Four Reasons Stablecoins Fall Short<\/h2>\n<p>De Cos built his case around four properties he says stablecoins lack. These include:<\/p>\n<ul>\n<li>Par redeemability<\/li>\n<li>Elasticity<\/li>\n<li>Interoperability<\/li>\n<li>Financial integrity.<\/li>\n<\/ul>\n<p>In practice, that means issuers can\u2019t guarantee a one-to-one cash-out the way a bank deposit can, supply doesn\u2019t expand and contract with real economic activity, tokens move poorly across competing blockchains, and self-custodied wallets make anti-money-laundering enforcement harder than in traditional banking.<\/p>\n<p>De Cos\u2019s preferred fix is tokenized deposits, which are basically account-based bank liabilities that settle through central bank reserves and preserve the \u201csingleness\u201d of money that stablecoins can\u2019t guarantee. He said:<\/p>\n<blockquote>\n<p>Tokenised deposits offer a more direct path to harness \u200btokenisation while preserving the monetary system\u2019s foundations.<\/p>\n<\/blockquote>\n<p>Backers of stablecoins have pointed to faster settlement and lower fees as core advantages over legacy rails, but de Cos suggests regulators plan to weigh those benefits against strict monetary-integrity standards before endorsing wider use.<\/p>\n<p>The stakes are getting bigger by the month, given that global stablecoin supply has climbed to $308 billion, up more than 14% year over year, even after pulling back from a May peak, and Tether\u2019s USDT alone <a href=\"https:\/\/news.bitcoin.com\/learning-insights\/stablecoin-depegs-explained\/\">accounts for roughly 60% of that total<\/a>, exactly the kind of scale de Cos argues the asset class isn\u2019t structurally built for.<\/p>\n<h2>Why This Lands Differently Now<\/h2>\n<p>De Cos\u2019s speech landed on a day when crypto markets already had plenty to process. Bitcoin\u2019s price, for starters, <a href=\"https:\/\/news.bitcoin.com\/market-updates\/btc-rejects-81500-as-whales-build-massive-sell-wall-at-81k\/\">slipped below $80,000<\/a> the same day, after Federal Reserve Chair Kevin Warsh <a href=\"https:\/\/news.bitcoin.com\/crypto-news\/bitfinex-signals-start-of-bitcoin-price-bull-phase-as-gold-tie-peaks\/\">used his own Jackson Hole keynote<\/a> to reaffirm a hawkish inflation stance and push short-term Treasury yields higher.<\/p>\n<p>He separately suggested that steering stablecoin activity toward U.S. Treasuries could help lower government borrowing costs, tying the debate over what counts as money directly to how governments fund themselves.<\/p>\n<p>Crypto markets, already whipsawed by rate speculation, now have one more variable to price in.<\/p>\n<\/p><\/div>\n<p><a href=\"https:\/\/news.bitcoin.com\/crypto-news\/bis-chief-stablecoins-tokenized-deposits\/\">Source link <\/a><br \/>\n<br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Originally posted on : Bitcoin News ) Key Takeaways Pablo Hern\u00e1ndez de Cos flagged four failures in stablecoins during his Jackson Hole address. Global stablecoin supply has climbed to $308B as of this month. De Cos urged central banks to prioritize tokenized deposits over stablecoins as part of his commentary. A Blunt Verdict From Basel [&hellip;]<\/p>\n","protected":false},"author":3947362404,"featured_media":77468,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[32],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/77467"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/3947362404"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=77467"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/77467\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/77468"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=77467"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=77467"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=77467"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}