Scale of Stablecoin Adoption in Nigeria Makes Risks 'More Pronounced', Says IMF

Stephen Graves

Tue, June 16, 2026 astatine 8:49 AM CDT 1 min read

The gait of stablecoin adoption successful Nigeria has highlighted the benefits of dollar-pegged crypto assets—and sharpened their risks, according to a caller study by the International Monetary Fund.

IMF researchers noted that stablecoins person "become a meaningful cross-border payments channel," with the state receiving immoderate $59 cardinal successful crypto-asset inflows betwixt July 2023 and June 2024, and accounting for 60% of stablecoin inflows wrong sub-Saharan Africa since 2019.

While conceding that stablecoin adoption brings "clear benefits" including fiscal inclusion and cheaper cross-border payments, undercutting accepted remittance channels, the IMF flagged monetary sovereignty and fiscal integrity arsenic concerns.

Dollar-pegged stablecoins could correspond a "digital signifier of dollarization," weakening home monetary policy, portion accepted fiscal monitoring systems neglect to "capture" stablecoin transactions effectively, with anonymity raising the hazard of "illicit finance."

"Attempts to suppress stablecoin usage are apt to beryllium lone partially effective," the study said, urging a "pragmatic" effect that allows for innovation portion "managing risks."

The authors suggested safeguarding monetary stableness to combat "digital dollarization," lauding caller macroeconomic reforms and tighter monetary policy. Other hazard absorption strategies see strengthening oversight, improving information done "combining blockchain analytics with reporting connected naira-stablecoin conversions," and upgrading existing outgo infrastructure to "reduce reliance connected unregulated channels" specified arsenic stablecoins.

The IMF has repeatedly criticized stablecoins implicit the past respective years, informing that they could stifle cardinal slope power and amplify fiscal crises. As precocious arsenic past week, the planetary fiscal instauration urged "close monitoring" of crypto adoption successful Nepal, highlighting the risks of "circumvention of superior controls oregon large-scale deposit outflows."