Ravi Menon is confident: The future global monetary system will consist of three key components: central bank digital currencies (CBDCs), tokenized bank liabilities and “well-regulated” stablecoins.
“Private digital assets have spectacularly failed every test as money. Therefore, no one keeps their savings in such assets for long periods of time. People are buying and selling private digital assets just to make money on speculation,” the official said.
Ravi Menon believes that, unlike the creators of private cryptocurrency projects, government regulators are seeking to create a new system of financial relationships based on digital asset technology that actually works. In particular, digital assets are seen as a secured form of national currency that can be used in innovative services and applications.
Earlier, experts at Cointelegraph Innovation Circle said that the cryptocurrency industry is demonstrating a rapid dollarization of public blockchains, with stablecoins as a medium of exchange displacing other cryptocurrencies.