Central Banks and CBDCs
Briefly, this article can be applied to multiple jurisdictions, even though the focus today is on euro area stablecoins. The argument, however, generalises easily: the risks attributed to stablecoins are far less dramatic than many commentary pieces suggest. More specifically, this text is written as a response to the growing
Central Banks and CBDCs
A few days ago, Christine Lagarde made waves at a conference in Lisbon when she expressed, let’s say, a certain skepticism about the benefits of stablecoins, arguing that they would in effect lead once again to the “privatization of money”. At first glance - or if we look at
Central Banks and CBDCs
The rise and fall of the shadow banking system—as chronicled by Zoltan Pozsar in his seminal 2008 article—offers a crucial case study in how modern financial innovation evolved under faulty assumptions, and ultimately destabilized the global monetary order. From a systemic perspective, the story is not merely one
Central Banks and CBDCs
* Utah prepares to pass a bill for Bitcoin reserves starting May 2025: https://legiscan.com/UT/text/HB0230/2025 * Montana planned to create a bitcoin reserve as early as July 2025, but the bill was rejected by House lawmakers on February 22 (voted 41-59): https://legiscan.com/MT/text/HB429/
Central Banks and CBDCs
Blockchain and crypto аре undoubtedly changing the world, and the first candidate for substitution is, of course, the financial system. The current financial system is in dire need of a major restructuring since it blew up in 2008 (hint: it was not the subprime issue, it was a global disaster)
Central Banks and CBDCs
The prevailing assumption in classical economics that banks primarily act as intermediaries between savers and borrowers has been a cornerstone of economic theory for decades. Even today most economic models are based on this assumption. Lately, however, this perspective has finally begun being increasingly challenged. In its 2014 research paper