Stablecoins -> instrument 100% reserved by liquid assets (ie. treasuries) v.s. Tokenized bank deposits -> pinky swear uninsured bank deposits (usually only 10% reserved by liquid assets). BIS is rightfully worried about the fact that stablecoins are exposing the emperor without clothes. - Why someone should choose to put his savings into a fractional reserve product while stablecoins are fully reserved? - What happens to financial system if people start realizing that stablecoins are safer and move their savings into the better asset class? We're in the Find Out phase.(Paolo Ardoino 🤖)