EU wholesale stablecoins and diplomatic spats

Plus: more institutional stablecoins, nervous markets, systemic risks and more

“Vast ills have followed a belief in certainty.” – Peter L. Bernstein ||

Hello everyone! I hope you’re all doing well, gearing up for the marathon that is Q4.

My latest op-ed in American Banker looks at how we are likely to end up navigating an ocean of stablecoins: As stablecoins proliferate, so will efficiency in the marketplace (paywall).

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IN THIS NEWSLETTER:

• The EU’s wholesale stablecoin takes shape

• Diplomatic spats move markets

• Scepticism and the institutional stablecoin rush

• Macro-Crypto Bits: nervous markets, systemic risks

• Also: a dangerous EU precedent, crypto politicians, Luxembourg

WHAT I’M WATCHING:

The EU’s wholesale CBDC takes shape

Messaging from the European Central Bank (ECB) around CBDCs is shifting. After a barrage of posts from officials over the past few weeks about how the retail-facing digital euro would make our daily lives so much easier, last week we got a breath of fresh air from an unexpected source.