Monetary Sovereignty Under Threat
Money is not just another technology; it's one of the primary instruments of economic governance, financial control, and public policy available to modern states.
Cryptocurrencies have often been portrayed as instruments of economic freedom and financial innovation, but they pose a direct challenge to monetary sovereignty of public institutions.
The first cryptocurrencies, particularly Bitcoin, were created to provide an alternative to traditional monetary systems. However, more than 15 years after its creation, Bitcoin appears to function primarily as a speculative asset rather than as a genuine currency due to its extreme price volatility.
The rise of stablecoins, such as Tether (USDT), is more significant in challenging monetary sovereignty. Unlike Bitcoin, stablecoins attempt to maintain a stable value through reserves linked to the U.S. dollar and U.S. Treasury securities.