The International Monetary Fund (IMF) has said stablecoins are a threat to the global economy.
According to the latest report published by the institution, these types of assets are vulnerable to hackers, suffer from a lack of transparency in issuance and distribution as well as possible disruptions due to the high volatility of cryptocurrencies.
Although the organization's analysts have stressed the threats at the moment are "limited in nature," regulators in developing countries should not lose sight of the control of cryptos due to the lack of adequate regulatory frameworks in most jurisdictions.
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The popularization of cryptocurrencies and stablecoins could disrupt their macroeconomic and financial stability, the report reads.
As the cryptocurrency space expanded and developed, "new sources of risk" appeared in this "new sources of risk:" stablecoins (due to the opacity of their backing and the risks of "bank panic") and DeFi.
IMF experts have also referred to meme tokens, the dominance of Binance among centralized exchanges and Tether among stablecoins as factors to be taken into account.
The organization has called for the development of "global standards for crypto assets," which will avoid the "risk of contamination" from other markets.