Editorial Board

Stablecoins Should Be for Moving Money, Not Saving It

If technology startups want to compete for deposits, they can apply for bank charters.

A reasonable first step.

Photographer: Brendan Smialowski/AFP

Cryptocurrencies are hot, and none more so than the so-called stablecoins that mimic dollars. There’s a good reason for that: Although they aren’t without risks, they do provide a fast and cheap method of transferring cash, something American consumers badly need.

For regulators, the goal should be to ensure that stablecoins can provide much-needed competition in the payments business without destabilizing the banking system.