An official of the European Central Bank warns of the impact of a possible sale of a fixed currency

Mass redemptions of stablecoins could force the European Central Bank (ECB) to adjust its monetary policy, a senior official has warned.

Concerns have grown over the risks of stablecoins, which have seen strong growth, with their market value exceeding $300 billion in 2025.

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The European Central Bank raises concerns about stablecoins

The rapid expansion of stablecoins could have serious repercussions for Europe’s economy, Olaf Sleiben, head of Deutsche Bank and member of the Governing Council of the European Central Bank, warned. He spoke about the exponential growth of dollar stablecoins and noted that if their adoption continues at the current rate, they could eventually reach a level where they become systemically important.

He also stressed that the wave of Recoveries are widespreadwhich resembles a withdrawal of deposits from stablecoins, may spread market turmoil that extends beyond the cryptocurrency sector.

Slyben told the Financial Times “If stablecoins are not really stable, you may find yourself in a situation where you need to quickly sell the underlying assets.”

In such a scenario, he said that the ECB could have Consider his monetary policy stance. According to Slypin, the central bank may be asked to adjust interest rates.

However, it is not clear whether this means tightening or easing monetary policy. He stressed that the authorities first rely on financial stability tools before resorting to changes in interest rates.

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Hypothetically, if investors rush to redeem stablecoins, issuers may need to liquidate Treasuries funds quickly. Strong sales could push US government bond yields higher, leading to ripple effects in European bond markets.

by the time Bond yields rise, financial conditions tightenwhich can slow economic activity and affect inflation. The European Central Bank may have to adjust interest rates not for domestic reasons, but rather to address the instability caused by the cryptocurrency sector.

Earlier, Jürgen Schaaf, a consultant in the Market Infrastructure and Payments Department at the European Central Bank, issued a similar warning. He warned that if stablecoins become widely used in the eurozone for payments, savings or liquidation, the ability of the ECB to guide monetary conditions could gradually weaken.

Schaaf noted that this change may reflect the dynamics observed in the dollar economy, where users lean toward the dollar because of perceived safety or better returns.

According to Schaaf, a dominant role for dollar-denominated stablecoins will eventually lead to The strengthening of the financial position of the United States and the geopolitical position, which allows for cheaper debt financing and expands its global influence. At the same time, Europe will face relatively higher borrowing costs, lower monetary policy flexibility and greater strategic dependence.

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He added: “The associated risks are clear – and should not be underestimated. The challenges of non-domestic stablecoins range from operational capacity, security and efficiency of payment systems, consumer protection, financial stability, monetary sovereignty and data protection to compliance with anti-money laundering and terrorist financing regulations.”

Adoption of stablecoins accelerates amid market expansion

The warnings from European officials come at a time when the stablecoin industry is developing rapidly In the midst of major organizational changes. According to DefiLlama data, the sector’s market capitalization has grown by around 48% this year alone. Now it has reached more than $300 billion.

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Tether continues to dominate the market with a market capitalization of approximately $183.8 billion. Its investment footprint has also grown significantly. The company is considered 17th in the world in terms of ownership of US government debt – More advanced than countries like South Korea.

The use of stablecoins has also accelerated. The volume of monthly payments It rose from $6 billion in February to $10.2 billion in August, an increase of nearly 70%.

B2B activity has been particularly active, doubling to $6.4 billion a month and now representing almost two-thirds of all payment flows in the sector.

Expectations indicate that this expansion will not stop soon. Citigroup expects it to reach the global market Stablecoins will reach about $3.7 trillion by 2030. The US Treasury is waiting The market could reach $2 trillion in 2028.

If these predictions become reality, stablecoins will be deeply integrated into global finance, reinforcing their economic importance and the regulatory challenges that surround them.