Stablecoins, this thing, claims to be pegged to the US dollar, but in reality, it's no different from private money printing. Once the asset side blows up, a bank run is even more intense than a bank's. Regulations will eventually have to bring it into the central bank system. Isn't the lesson from the free banking era enough?

The Wall Street Journal states that stablecoins are essentially private currencies, and although the GENIUS and CLARITY bills promote compliance, there are still structural risks to the financial system. Stablecoins are pegged to the US dollar but can easily deviate from $1, and issuers seeking profits may allocate high-risk assets. When asset values decline, they may lose their peg, triggering redemptions and market chain reactions. Chainalysis indicates that stablecoins account for about 84% of illegal activities in cryptocurrency, mainly used for transactions, with less than 1% for real economic payments. In the future, stablecoins may face stricter regulation like banks and be deeply integrated into the central banking system, repeating the trajectory of the free banking era in the 19th century.