Federal Reserve Governor Christopher Waller said stablecoins should be regarded primarily as a new way to make payments, likening them to existing digital transactions rather than to speculative assets. Speaking on 10 July, Waller argued that the tokens could enhance competition in the payments industry, driving greater efficiency and innovation. He added that wider adoption of dollar-denominated stablecoins could reduce cash use domestically and expand the international role of the U.S. currency. Waller’s remarks signal the Fed’s view that any regulatory framework should focus on the tokens’ payment functionality instead of treating them as a distinct asset class.