Bank of Italy Governor: Stablecoins can only play a supplementary role in the monetary system

PANews January 21 News, according to Cointelegraph, Italy’s central bank governor Fabio Panetta stated that commercial bank money and central bank money will continue to serve as the cornerstone of the monetary system, while stablecoins can only play a supplementary role. He pointed out that the stability of stablecoins ultimately depends on their peg to fiat currency, which limits their ability to operate independently within the financial system. Panetta believes that payments have become a core strategic competitive area for banks; against the backdrop of the global economic shift towards technological power and a more divided geopolitical environment, digital finance is putting pressure on banks. The Bank of Italy maintains a cautious stance on stablecoins. The bank’s vice governor previously warned that “multi-issuer stablecoins” issued in multiple jurisdictions could pose legal, operational, and financial stability risks to the EU, and therefore should be restricted to regions with equivalent regulatory standards and subject to strict reserve requirements.