Pablo Hernandez de Cos, General Manager of the Bank for International Settlements (BIS), emphasized the need for globally coordinated regulation of stablecoins to prevent market fragmentation. He warned that regulatory disparities could lead to arbitrage opportunities and undermine monetary and fiscal policies. Stablecoins, often pegged to the U.S. dollar, pose risks such as financial market stress and challenges in combating illicit financing. Currently, Tether and Circle dominate the stablecoin market, representing about 85% of the $315 billion global supply. Hernandez de Cos noted that these stablecoins resemble securities more than traditional money, given their redemption characteristics and operational similarities to ETFs.