Director of the Monetary Authority of Singapore: Cryptocurrencies have not passed the test of digital currencies, well-regulated stablecoins have great prospects

ChainCatcher news, Ravi Menon, the head of the Monetary Authority of Singapore (MAS), stated in his keynote speech at the Singapore FinTech Festival that stablecoins and central bank digital currencies (CBDCs) (rather than cryptocurrencies) will be part of the future financial ecosystem.

Menon noted that cryptocurrencies have failed the test of digital currency because "they perform poorly as a medium of exchange or a store of value, and their prices are subject to severe speculative fluctuations, causing many cryptocurrency investors to suffer significant losses." MAS views well-regulated stablecoins as a promising digital currency that can complement CBDCs and tokenized bank liabilities.