Stablecoins Won't Scale Without Banks
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Stablecoins not credible for payments at scale, BIS chief says
BIS chief Pablo Hernández de Cos said stablecoins lack credibility for payments at scale, while a new FSI study highlights sharp differences in issuer rules.
The Reserve Bank of India reiterated its support for a "curb-prone ban" strategy on crypto assets, recommending that banks refrain from holding or trading crypto assets.
According to Mars Finance, on July 3, the Reserve Bank of India (RBI), in a document submitted to the Parliament's Standing Committee on Finance, reiterated its support for a "containment-oriented and prohibition-oriented" regulatory strategy for crypto assets, arguing that "prohibition" remains one of the policy options recognized by international regulatory frameworks. The RBI recommends that banks and other regulated financial institutions refrain from holding, trading, or providing exposure to crypto assets and privately issued stablecoins to avoid potential contagion risks to the financial system. The RBI stated that imposing traditional financial regulations on crypto assets could mislead the market, grant "legitimacy" to speculative assets lacking real economic value, and create a false sense of security for users. The RBI also warned that the large-scale adoption of stablecoins could weaken India's monetary sovereignty, weaken the transmission mechanism of monetary policy, fragment the payment system, and pose risks to financial stability. Therefore, it recommends prioritizing the development of sovereign digital payment infrastructure such as central bank digital currencies (CBDCs). Furthermore, the RBI questioned the ranking of India as having the highest crypto adoption rate globally, arguing that data based on private blockchain analytics firms has methodological flaws. The RBI pointed out that India currently has 54 FIU-registered crypto service providers, and approximately 39.3 million KYC-verified users holding crypto assets worth approximately 20.437 billion rupees. It stressed the need for a clear distinction between speculative crypto assets and the tokenization of real-world assets (RWAs) such as government bonds and corporate bonds to avoid hindering innovation in financial asset tokenization.
Bank of Thailand Governor: Banks will be allowed to issue Thai baht stablecoins this year
PANews reported on June 26 that, according to Jinshi, the Governor of the Bank of Thailand stated that banks will be allowed to issue Thai baht stablecoins this year.
The number of registered users of Beijing's leading large-scale model has reached 2.05 billion.
Mars Finance reports that on June 25th, the Beijing Municipal Government Information Office held a press conference for the 2026 Global Digital Economy Conference. The conference announced that, to date, leading Beijing-based large-scale digital economy platforms have accumulated 2.05 billion registered users and provide API interface services to nearly 50,000 institutions nationwide, demonstrating the continued prominence of their exemplary and radiating influence. (Cailian Press)
South Korean fintech company Toss is partnering with Optimism and Sunnyside Labs to explore stablecoins in the Korean won.
PANews reported on July 8th that, according to The Block, South Korean fintech company Toss is collaborating with Optimism and Sunnyside Labs to explore a won-denominated stablecoin. The three parties will conduct proof-of-concept trials in the coming months to test the application of OP Stack in compliant blockchain digital financial infrastructure.
The European Central Bank has asked banks to submit plans to address AI and cybersecurity threats.
PANews reported on July 7 that the European Central Bank (ECB) has urged banks to develop plans to address the growing cybersecurity threats posed by cutting-edge AI models such as Anthropic's Claude Mythos. In a letter to bank CEOs, ECB Chief Supervisor Claudia Buch requested lending institutions to submit action plans by the end of October. She urged banks to accelerate software patch updates, strengthen AI-driven cyber defenses, and enhance oversight of third-party vendors, while also emphasizing the need for long-term infrastructure modernization. Buch stated, "The ECB calls on key institutions to immediately assess the impact of the evolving threat landscape and develop comprehensive action plans outlining specific measures to strengthen relevant controls."