The Italian Minister of Economy and Finance, Giancarlo Giorgetti, expressed his concerns about the threat posed by the American stablecoins, stressing that they could represent a danger larger than the customs tariffs of Donald Trump. According to him, these cryptos backed by the dollar are likely to disrupt the financial stability of Europe.
Stablecoins: a threat to European stability
While the dollar is currently in free fall, Giancarlo Giorgetti warns that American policies concerning the stablecoins backed by it could threaten the domination of the euro in cross-border payments. According to him, the growing attraction for these cryptos among Europeans could undermine the role of the euro.
While customs tariffs dominate the debates, he believes that the development of stablecoins, which allows European users to make transactions without going through American banks, represents a major challenge for the European economy. As a result, it calls for strengthening the role of the European single currency and the “digital euro” project under development by the ECB.
Stablecoins and their dazzling growth by 2028
In parallel, the stablecoins supported by real assets could see their value exploding to reach $ 2,000 billion by 2028, according to a recent analysis. Currently estimated at $ 230 billion, the Stablecoins market is about to multiply by ten, stimulated by imminent legislation in the United States.
The bill ” Genius Act », During adoption, will establish a precise regulatory framework for these cryptos, thus accelerating their global adoption. According to experts, this growth is expected to lead to increased demand for US Treasury bills, strengthening the dollar position in the world economy.
Risks for the dominance of the dollar
Although the rise of stablecoins supports the domination of the dollar, it could also reduce the preponderance of the euro. If the stablecoins are diversifying towards other currencies or baskets of currencies, this could also harm the hegemony of the dollar, to the great pleasure of Tether.
Stablecoins, which represent a challenge for the euro, may strengthen the dollar worldwide. Faced with this rise in power, Europe must react, in particular by continuing the development of the digital euro, which arrives by October 2025.
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