Bank for International Settlements researchers found that dollar-backed stablecoins are creating a new form of digital dollarization that appears largely unaffected by capital controls in emerging markets, according to a new study. The study suggests stablecoins operate outside the regulatory perimeter, allowing households and businesses to shift into dollars outside the banking system. This occurs particularly in emerging markets with weak currencies or limited access to reliable financial services, where both traditional foreign-currency deposits and stablecoin inflows tend to increase during periods of macroeconomic stress.
BIS Study Analyzes Stablecoin Flows Across 130+ Economies
BIS researchers analyzed foreign-currency deposits and dollar-pegged stablecoin inflows across more than 130 economies. The study found that both tend to increase during periods of macroeconomic stress. Unlike traditional bank deposits, stablecoin flows showed little response to capital controls or other foreign exchange restrictions. The authors stated this likely occurs because stablecoins are partly circulating outside the regulatory perimeter.
The researchers found little evidence that deposit dollarization weakens the transmission of monetary policy. However, countries with higher foreign-currency deposits faced a somewhat greater risk of elevated inflation. BIS stated the findings suggest policymakers may need new tools to manage financial stability as stablecoins become more widely used, noting that regulations designed for traditional banking and foreign-currency deposits may be less effective in a tokenized financial system.
Stablecoin Adoption Expands in Nigeria and Latin America
IMF Reports Nigerian Household Stablecoin Usage
The International Monetary Fund found that households and small businesses in Nigeria are using US dollar-pegged stablecoins for cross-border payments, remittances and access to dollar-denominated assets. The IMF stated inflation, currency depreciation and limited access to foreign exchange drive demand. The organization said stablecoins have reduced the cost and time required to move money across borders while expanding access to financial services for users outside the traditional banking system.
Bitso Business Reports 81% Year-Over-Year Increase in Latin America
Bitso Business, the enterprise payments arm of crypto exchange Bitso, reported an 81% year-over-year increase in stablecoin payment volume during the first half of 2026. The company stated that Circle's USDC and Tether's USDT accounted for 40% of all crypto purchases in the region in 2025, surpassing Bitcoin for the first time.
Stablecoin Market Capitalization Reaches $309.7 Billion
Stablecoin market capitalization has increased to approximately $309.7 billion, up from roughly $260 billion a year ago, according to data from DefiLlama.
FAQ
What did the BIS study find about stablecoins and capital controls?
BIS researchers found that dollar-backed stablecoins create digital dollarization that appears largely unaffected by capital controls in emerging markets. The study analyzed more than 130 economies and found stablecoin flows showed little response to capital controls or foreign exchange restrictions, unlike traditional bank deposits.
How are stablecoins being used in emerging markets?
The IMF found that households and small businesses in Nigeria use US dollar-pegged stablecoins for cross-border payments, remittances and access to dollar-denominated assets. In Latin America, Bitso Business reported an 81% year-over-year increase in stablecoin payment volume during the first half of 2026, with USDC and USDT accounting for 40% of all crypto purchases in the region in 2025.
