Author: Marine Pipitone

Advantages and Transformational Potential • Efficiency Redefined: Stablecoins introduce unparalleled speed and efficiency to financial transactions, offering near-instantaneous settlements that outpace traditional instruments. • Stability Levers: The core purpose of a stablecoin is to provide stability against a reference asset, that Bitcoin failed to fulfil. Issuers have two key levers for stability: the choice of reserve assets and the design of the stabilization mechanism. These levers play a crucial role in protecting stability and ensuring that the stablecoin’s price remains pegged to the reference asset, which could lead to a broader adoption by the market as the stablecoin’s singlenesswould be met, creating trust amongst consumers. • Financial…