Nobel Laureate Raises Concerns About Stablecoin Regulation

Jean Tirole, Nobel Prize-winning economist, has issued a stark warning regarding the inadequate regulatory framework for stablecoins. In an interview with BlockBeats, he highlighted the risk of financial instability triggered by these digital tokens collapsing and burdening governments with costly bailouts, potentially exceeding billions. Tirole emphasized his grave concern over how stablecoin regulations are failing to adequately address potential bank runs if doubts arise about the reserves backing these tokens.