Stability AI · CoinDesk
Global financial watchdog calls for cross-border information sharing, planning for stablecoin crisis
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The Financial Stability Board (FSB) warned that stablecoins could expose gaps in cross-border financial rules during a market crisis and remain untested in such a scenario, and called for more cross-border information sharing, monitoring and planning for stablecoin distress or failure.
Key facts
- The stablecoin market started 2025 at around $206 billion in capitalization, and has grown to $306 billion
- Diversified RWA stablecoins sustain 5-7% yield from real credit as crypto funding compresses to ~4%
- The Financial Stability Board (FSB) warned that stablecoins could expose gaps in cross-border financial rules during a market crisis and remain untested in such a scenario, and called for more
- Moving those reserves may become harder during a crisis, the FSB warned
Summary
The FSB warned global stablecoins and national rules remain untested in severe market crises, risking redemption and reserve delays. The watchdog called for more cross-border information sharing, monitoring and planning for distress or failure in the fiat-pegged tokens. Multi-issuer models can trap reserves in one jurisdiction while redemption demands hit another, complicating cross-border crisis response, while 24/7 trading and pseudonymous transactions increase systemic shock risks, it said.