EU Watchdog Calls for Stablecoin Ban in New Crackdown

An EU financial stability watchdog is pushing to ban certain stablecoins. The European Systemic Risk Board has recommended prohibiting multi-issuance stablecoins in a bid to address potential risks to the region’s financial system.

The reported recommendation, though not yet law, signals a tougher line from EU regulators.

It follows recent calls from European Central Bank President Christine Lagarde for urgent global crypto regulation. The proposal specifically targets stablecoins issued across multiple jurisdictions, putting the operations of international issuers in the EU at risk.