Federal Reserve Governor Paul Waller said that since stablecoins are effectively digital currencies, they can reduce the need for payment intermediaries, which can reduce the cost of global payments. But their safety is not guaranteed, and if proper guardrails can be put in place to minimize operational risks and mitigate other risks of stablecoins, such as their potential use in illicit finance, then stablecoins could offer benefits in terms of payments and serve as safe assets on a variety of new trading platforms.