Nobel Economist Warns of Stablecoin Risks: Potential Government Bailouts

Nobel Prize-winning economist Jean Tirole has sounded the alarm about the lack of oversight in the rapidly expanding stablecoin market, warning that inadequate regulation could force governments to make multibillion-dollar bailouts during future financial crises. His concerns stem from the sector’s recent growth and the potential for retail investors to lose money if these digital assets, seen as safe havens by many, fail during market turmoil.