This is being discussed, for instance, for the use cases of interbank payments, securities settlements, and cross-border transactions, where the introduction of a digital token native to a platform may facilitate certain types of settlement.
The impact of a high level of foreign purchases on long-term rates is well documented for the dollar but is also evident in the market for euro-denominated debt (Carvalho and Fidora 2015). A wider set of reserve currencies may also enhance risk management.