In the past, researchers have often pointed out the danger of stablecoins not being fully backed or being unable to maintain a 1:1 peg to the dollar. The latest report, however, seems more concerned with the risk that one large issuer could have the power to blot out competitors, which could then result in a run on those coins.
Even ‘Safe’ Stablecoins Might Pose Financial Stability Risk, New York Fed Says
