Bundesbank backs digital euro as analysts see stablecoins near $500B by 2028

Germany's Bundesbank said it supports broad adoption of a digital euro and euro-denominated stablecoins to strengthen Europe's financial system, while ECB officials warned that reliance on dollar-pegged tokens can hinder monetary policy transmission. Analysts expect the stablecoin market to approach around $500 billion by 2028, with longer-term scenarios pointing to euro figures in the hundreds of billions.