Potential Scenarios for Deciding to Issue a Digital Shekel

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The Bank of Israel has outlined the possible scenarios that can lead to the issuance of CBDC (digital shekel), these are the main points:

CBDC issuances by other countries
Decline in the legitimate use of cash and its acceptance in transactions in Israel
Significant penetration of stablecoins or other private means of payment that would be broadly used
The extent of competition in the domestic payment system
Technological developments in the payments system

You can read more about the main points from the link below:

https://www.boi.org.il/en/communication-and-publications/press-releases/potential-scenarios-for-deciding-to-issue-a-digital-shekel/

What I am surprised about is the 'significant penetration of stablecoins or other private means of payment that would be broadly used'. Are stablecoins that a threat to fiat? In my opinion, I do not think so.

What is your opinion? Are stablecoins a thread to fiat?

[EarnOnVictor]

I don't like to align with the view that Bitcoin and other cryptocurrencies, including stablecoins are threats to fiat. They cannot function without fiat in an economy, so none of them is a threat to the other, they will only do their part in serving their owners/users that knows how to manoeuvre within them for trading, investment, low transaction cost and for other uses.

Some of what countries' CBDC project is targetting are what you have iterated, the inclusivity, accountability and more regulation are additionally their goals, not being a primary competitor.