Haun Ventures general partner Diogo Monica claims that stablecoins are safer than commercial bank deposits, but critics warn of transparency issues with issuers like Tether. Stablecoins may be safer than deposits held at commercial banks, according to Diogo Monica, general partner at Haun Ventures. Speaking during a panel discussion titled “Stablecoins: Programmable Money in a Digital World” at the Proof of Talk conference in Paris on June 10, Monica said that many stablecoins are backed by reserves held at globally systemically important banks (G-SIBs) or in short-term US Treasury bills, which he views as more secure than commercial bank deposits. “It’s actually much better than having a dollar in a commercial bank,” Monica said. Read more
The case for holding Bitcoin on a firm’s balance sheet is compelling, CoinShares’ Butterfill told Cointelegraph, and “the pace of adoption is accelerating.” Strategy became the first publicly traded company to adopt Bitcoin as its primary treasury reserve asset in August 2020, but not many major tech firms have followed since. Treasury reserves, sometimes called cash reserves, are held by corporations to fund short-term or emergency obligations. These are typically cash or cash equivalents like money market funds or three-month US Treasury bills. The social media giant Meta keeps $72 billion in liquid assets in its reserve. But at its annual meeting on May 28, shareholders turned back a proposal to assess whether Bitcoin (BTC) might qualify as a future treasury reserve asset. The proposal was dismissed by a ratio of 1,221 to 1. Read more
Romania's Finance Ministry raised RON805 million from banks on Tuesday (June 10), selling government paper, at an annual average yield of 7.50%.