The International Monetary Fund has released an in-depth assessment of how the rapid expansion of the stablecoin sector could influence global financial systems and whether current regulations are equipped to manage the shift. In its “Understanding Stablecoins” report published Thursday, the IMF evaluated how regions such as the United States, the United Kingdom, Japan and the European Union are shaping their respective regulatory frameworks.

While the IMF acknowledged that ongoing regulatory developments could help limit risks to macrofinancial stability, it emphasized that the overall environment remains highly “fragmented,” both in how policymakers approach the issue and in the way stablecoins are structured and issued.

The organization warned that “the proliferation of new stablecoins across different blockchains and exchanges raises concerns about inefficiencies due to potential lack of interoperability,” adding that differing national frameworks could create “roadblocks among countries, due to different regulatory treatment and transaction hurdles.”

The report stressed that although regulation plays a vital role, deeper structural safeguards are needed as well. As the IMF stated, “Although regulation of stablecoins helps authorities address [certain] risks, strong macro-policies and robust institutions [...] should be the first line of defense [...] International coordination remains key to solving these issues.”

What’s backing the biggest stablecoins?

The IMF outlined how the two largest stablecoins by market capitalization — USDT and USDC — maintain their backing. Both rely primarily on short-term U.S. Treasurys, reverse repo positions secured by Treasurys, and bank deposits. According to the report, around 40% of USDC reserves and approximately 75% of USDT reserves come from short-term Treasurys, while Tether also allocates about 5% of its backing to Bitcoin.

Most stablecoins in circulation today are pegged to the U.S. dollar, though a few issuers offer alternatives linked to other currencies such as the euro. As of December, the total stablecoin market exceeds $300 billion.

Regulatory momentum in the United States

Following the signing of the GENIUS Act into U.S. law in July, regulators have been preparing a broad policy structure for payment stablecoins. According to blockchain security firm CertiK, these efforts have already influenced how liquidity is distributed, with distinct pools forming for U.S.- and EU-denominated stablecoins.

Sources:

https://cointelegraph.com/news/imf-guidelines-stablecoin-risks-regulations

https://www.imf.org/en/-/media/files/publications/dp/2025/english/usea.pdf

https://x.com/IMFNews/status/1996565304084971845