The head of the Bank of Italy recently discussed a topic that many people are concerned about—the future of money. His core view is quite interesting: as the wave of digitalization advances, both the currency issued by commercial banks and the currency issued by central banks will ultimately exist in digital form, which is the general trend. But these two types of currency will still serve as the fundamental support of the entire monetary system.

So what about stablecoins? In his opinion, stablecoins can only play a supporting role—their stability fundamentally relies on being anchored to fiat currency. In other words, they must closely cling to the fiat currency. For this reason, stablecoins find it difficult to independently undertake the true functions of money; they are essentially dependent assets.

This discussion reflects the traditional financial system’s view of digital assets—central bank digital currencies and commercial bank digital currencies are the future infrastructure, while stablecoins, although useful, will always have a limited role.