Europe Risks Falling Behind US on Stablecoins, Villeroy Says (1)

European banks risk falling behind the US in the rapid development of stablecoins, potentially undermining the continent’s sovereignty, European Central Bank Governing Council member Francois Villeroy de Galhau said.

Europe is ahead with regulation and the development of a public digital currency, but lags in when it comes to private currency, the Bank of France chief said in an interview with Le Grand Continent.

The stablecoin market could reach trillions of dollars in the coming years from around $250 billion today, forcing European banks to address the need for private tokenized currency, he said.

“The possible risk for Europe is ...