Central banks have a somewhat more complex raison d’être, hence the growing consensus among them that it may be necessary to step in.
In a recent letter to members of the European Parliament, the president of the European Central Bank, Christine Lagarde, recognized that “stablecoin initiatives such as Libra aim to overcome shortcomings in cross-border payments. … At the same time … innovations — including stablecoins — will only be beneficial if the associated risks are mitigated through effective regulation and oversight.”
