A report for the year PubliziertThe United States Financial Stability Oversight Council (or FSOC) expressed concern Friday over the adoption Digital assets such as stablecoins or other digital currencies.

Concerning stablecoins the FSOC stated that factors like illiquidity and lack of adequate safeguards as well as opacity in redemption rights, cyber attacks, or lack thereof, could undermine consumer confidence. According to the report, a “run on stablecoins when there are tight market conditions could be able to amplify a shock in the economy or the financial system.”