ECB Warns: US Stablecoins Could Crash Global Economy – But Who’s Listening? 😱

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Top ECB official and Dutch Central Bank governor, Olaf Sleijpen, recently said that a run on US stablecoin could potentially send shockwaves across the global market. Which, honestly, is just the 2008 crisis but with more emojis and fewer haircuts. 🧢💥

The surge follows new rules introduced by US President Donald Trump that open the door for privately issued stablecoins. Because nothing says ‘economic stability’ like letting corporations create their own money. 🤷‍♂️💸

Many of these tokens are backed by US Treasuries as their underlying assets. Which, of course, is just a fancy way of saying ‘we’re all just hoping the US government doesn’t default on its debt.’ 🇺🇸💣

While speaking to Financial Times, ECB policymaker Sleijpen said:

“If stablecoins in the US increase at the same pace as they have been increasing . . . they will become systemically relevant at a certain point. If stablecoins are not that stable, you could end up in a situation where the underlying assets need to be sold quickly.”

Olaf Sleijpen warned that the rapid growth of stablecoins could pose risks to financial stability, the broader economy, and inflation in Europe. Which is basically saying, ‘Let’s all just hope the Fed doesn’t panic and sell all our bonds.’ 🧠📉

US Stablecoin Run Can Force ECB Policy Shift

The senior policymaker of the European Central Bank (ECB) stated that the global expansion of US dollar-denominated stablecoins could push the Eurozone, into conditions similar to emerging markets. Which is basically saying, ‘Hey, let’s all just use dollars and hope for the best.’ 🇪🇺🇺🇸

He added that heavy reliance on the US currency can undermine local policymakers’ ability to steer interest rates or manage the money supply. As a result, the ECB is already working on blockchain-based euro settlements and plans to introduce them by early 2026. Because nothing says ‘trust us’ like a central bank trying to create a digital currency that’s less exciting than a spreadsheet. 📊📉

Nobel Prize-winning economist Jean Tirole has separately cautioned that governments may ultimately face multibillion-dollar bailouts if such tokens were to unravel. Which, if you ask me, is just the next step after ‘quantitative easing’ and ‘helicopter money.’ 🧑‍🎓💸

Dutch central bank governor Olaf Sleijpen said the Eurozone’s monetary policy outlook has improved slightly since June. He added that trade uncertainty has eased, economic growth across the bloc is proving more resilient than anticipated. Which is basically saying, ‘We’re not sure, but we’re definitely not doing anything about it.’ 🧐📈

After delivering eight quarter-point reductions that brought its main rate down to 2%, the ECB has held borrowing costs steady for the past five months. Investors now assign only a 25% probability to another quarter-point cut before the end of next year. Which is basically saying, ‘We’re not sure, but we’re definitely not doing anything about it.’ 🧐📉

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2025-11-17 18:12