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A new report from the Bank for International Settlements (BIS) challenged the notion that stablecoins can serve as money in a modern financial system.
According to the BIS Annual Economic Report 2025, stablecoins fail the fundamental tests of “singleness,” “elasticity” and “integrity,” three critical criteria that define effective monetary instruments.
The BIS described stablecoins as “digital bearer instruments” that resemble financial assets more than actual money. “Stablecoins perform poorly when assessed against the three tests…
