EU Seeks to Ban Multi-Issuance Stablecoins Amidst Systemic Risk Concerns

The European Union (EU) is proposing a ban on multi-issuance stablecoins, driven by concerns about systemic financial risks. The European Systemic Risk Board (ESRB), chaired by Christine Lagarde, has recommended this move to address potential disruptions to the EU’s financial stability and regional sovereignty. This could impact U.S.-issued stablecoins in the EU significantly, affecting liquidity within markets like Ethereum and DeFi protocols. ]