NEW YORK (Reuters) -Federal Reserve Governor Christopher Waller said Thursday stablecoins will bolster competition in the payments system, and that that was a good thing. 

The rise of stablecoins will make many types of payments cheaper and faster, Waller said at an event at the Dallas Fed. "And that's the goal for me, as a free-market capitalist economist, is that I want competition in payments to drive down the cost for households and consumers and businesses. That's it," Waller said.

He also said stablecoins may depress demand for U.S. paper currency while bolstering demand for the dollar in general.