[Global Lack of Coordination on Stablecoin Regulation May Lead to Market Fragmentation, BIS Calls for Global Cooperation] According to a Reuters report, Pablo Hernandez de Cos, General Manager of the Bank for International Settlements (BIS), stated that global coordination on the regulation and usage of stablecoins is of "critical importance." Without such coordination, divergent regulatory rules across jurisdictions could lead to severe market fragmentation or regulatory arbitrage. He emphasized that stablecoins could undermine monetary and fiscal policies, trigger financial market stress, and hinder efforts to combat illicit financing, necessitating enhanced cross-border regulatory cooperation. De Cos pointed out that if stablecoin issuers could access deposit insurance or central bank liquidity support, the risk of "runs" would be significantly reduced. He also mentioned that mainstream stablecoins like Tether and Circle frequently lose their pegs due to redemption frictions, making them more akin to ETFs rather than currencies. Additionally, he suggested that effectively prohibiting stablecoins from paying interest could reduce the incentive for funds to migrate from bank deposits to stablecoins.