Wars heighten economic actors’ perception of risk. The conditions created by wars may offer advantages to certain interest groups. For society as a whole, however, they strengthen the desire for economic security. Under such circumstances, savers can be expected to turn to government bonds, which they regard as safe assets that protect their economic interests. Bond prices and yields move in opposite directions. Therefore, purchases by savers raise bond prices but lower bond

In a financial system historically defined by state-backed currencies, central banks, and commercial lenders, stablecoins have emerged as...