[European Central Bank: Growth of Stablecoins May Weaken Monetary Policy Transmission] On March 3, the European Central Bank released a working paper pointing out that the growth in the use of stablecoins is drawing funds away from bank deposits, weakening the transmission effect of monetary policy on loans. The research shows that the rising interest in stablecoins is associated with a decline in retail bank deposits and a reduction in corporate loans, which may lead banks to rely more on costlier and less stable wholesale or market financing. The European Central Bank emphasized that the extent to which stablecoins disrupt monetary policy transmission depends on their scale of adoption, design features, and regulatory approach. In particular, stablecoins denominated in foreign currencies may further weaken the connection between domestic monetary policy and bank lending.