If Stablecoins Are the Future of Money, Watch Out: Editorial

In the digital future, what do you want your money to be? An instrument explicitly backed by a government? Or an IOU from a private firm that might not be as stable as it claims?

If America’s current leaders have their way, the latter model may prevail — with potentially dire repercussions for the global financial system. Other governments are right to push back.

The world of finance is on the cusp of a potentially profound transformation. A technology known as tokenization is enabling assets of all kinds to follow instructions. In a stock trade, for example, digital cash and ...