Stablecoin less preferable form of tokenized money, BIS paper finds By Cointelegraph

The singleness of money is the assurance that public and private money trade at the same rates. Even small differences between public and private money rates can have a ripple effect across transactions. A Bank of International Settlements (BIS) working paper compared models of private tokenized money in terms of their singleness as a complement to a central bank digital currency.

Tokenization is “the process of representing claims in a digital form that allows them to be transacted on programmable platforms using smart contracts,” the paper said. Tokenized money can be a bearer instrument, where the claim on the issuer is transferred without affecting the issuer’s balance sheet. Stablecoin is an example of this.