IMF warns of global financial risks due to stablecoins - ForkLog: cryptocurrencies, AI, singularity, future

# IMF Warns of Global Financial Risks Due to Stablecoins

Dollar-pegged “stablecoins” can accelerate the process of dollarization in countries with high inflation, undermining central banks’ control over capital flows. This is stated in the IMF report.

The cross-border nature of stablecoins could simplify remittances and payments but also complicate monetary policy and financial stability in emerging markets. A new IMF report explores the challenges and opportunities. https://t.co/eVss5tPsFn pic.twitter.com/ERq3MwxPTz

— IMF (@IMFNews) December 4, 2025

According to experts, stablecoins can speed up the abandonment of national currencies by populations and businesses in countries with unstable economies.

“Stablecoins can accelerate the process of dollarization, increase the volatility of capital flows by bypassing established controls, and fragment payment systems into isolated segments if technical interoperability is not ensured,” the document states.

The risk is especially high in countries experiencing a crisis of confidence in the local financial system. In such conditions, fiat-pegged digital assets can quickly transform from a means of settlement into a full-fledged alternative to the national currency.

The warning was published during a period of active growth in the stablecoin sector. The report’s authors noted that since 2023, the capitalization of the two largest coins—USDT and USDC—has tripled, reaching a combined total of $260 billion.

Trading volume soared to $23 trillion in 2024.

Source: IMF The geography of stablecoin usage is uneven. Asia became the absolute leader in transaction volume.

However, relative to the size of the economy, these assets are most actively used in Africa, the Middle East, and Latin America—regions historically exposed to dollarization and substitution of national currencies.

Potential and Risks

The IMF also recognized the positive potential of the technology. In many developing countries, the pace of digital service adoption already surpasses traditional banking.

Analysts believe that with proper regulation, stablecoins can:

• increase competition in the financial market;
• reduce costs for transfers and payments;
• improve access to financial services.

However, these advantages are accompanied by macro-financial risks. The primary threat is the possibility of mass asset flight.

Doubts among users about stablecoin backing can trigger avalanche-like sell-offs. To meet obligations, companies would be forced to rapidly liquidate their assets (often—government bonds), which could cause shocks in the global financial markets.

The pseudonymous cross-border nature of stablecoins can also weaken capital movement controls, facilitate illicit financing, and worsen the quality of macroeconomic data. The global distribution of holders—often unknown due to non-custodial wallets—complicates crisis monitoring and the development of regulatory measures.

A Challenge for Regulators

Regulation of the sector is becoming clearer but remains inconsistent. In the report, IMF experts compared approaches in Japan, the US, the EU, and the UK, identifying differences in nearly all areas—from requirements for issuers and reserves to the admission of foreign players.

Such fragmentation encourages regulatory arbitrage: companies choose jurisdictions with the most lenient rules. This creates unfair competition and reduces the efficiency of sector oversight, whose risks

The Fund concluded: stablecoins are “a phenomenon that will be with us for a long time.” However, whether they become a source of stability or a risk factor directly depends on the global community’s ability to develop unified standards.

Recall, at the end of November, the Bank for International Settlements warned of financial risks due to RWA.