Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnWeb3SquareMore
Trade
Spot
Buy and sell crypto with ease
Margin
Amplify your capital and maximize fund efficiency
Onchain
Going Onchain, without going Onchain!
Convert
Zero fees, no slippage
Explore
Launchhub
Gain the edge early and start winning
Copy
Copy elite trader with one click
Bots
Simple, fast, and reliable AI trading bot
Trade
USDT-M Futures
Futures settled in USDT
USDC-M Futures
Futures settled in USDC
Coin-M Futures
Futures settled in cryptocurrencies
Explore
Futures guide
A beginner-to-advanced journey in futures trading
Futures promotions
Generous rewards await
Overview
A variety of products to grow your assets
Simple Earn
Deposit and withdraw anytime to earn flexible returns with zero risk
On-chain Earn
Earn profits daily without risking principal
Structured Earn
Robust financial innovation to navigate market swings
VIP and Wealth Management
Premium services for smart wealth management
Loans
Flexible borrowing with high fund security
IMF’s Bo Li Flags Key Regulatory Gaps in Global Stablecoin Race

IMF’s Bo Li Flags Key Regulatory Gaps in Global Stablecoin Race

DeFi PlanetDeFi Planet2025/06/26 02:32
By:DeFi Planet

The global race to regulate stablecoins is picking up speed. However, two critical issues still cloud the path forward, according to Bo Li, Deputy Managing Director at the International Monetary Fund (IMF).

The global race to regulate stablecoins is picking up speed. However, two critical issues still cloud the path forward, according to Bo Li, Deputy Managing Director at the International Monetary Fund (IMF). 

Speaking at the World Economic Forum’s Summer Davos event, Li underscored unresolved questions surrounding the classification of stablecoins — a dilemma that could significantly shape their future regulation.

As reported by Chinese financial outlet Caixin, Li highlighted that while countries across the U.S., Europe, and Asia have made notable strides in developing regulatory frameworks for stablecoins, a core issue remains: how should these digital assets be classified? Are they monetary currencies or financial assets akin to stocks, gold, or bonds?

IMF’s Bo Li Flags Key Regulatory Gaps in Global Stablecoin Race image 0 Source: Caixin

“Currently, a large number of digital currency or stablecoin regulatory experiments and explorations are being carried out around the world,”

said Bo Li in his statement at the Summer Davos 2025.

Li further explained that if stablecoins are categorized as currency, governments would need to determine whether they fall under narrow money (M0) or broader money (M2) classifications — a distinction that directly affects how issues such as anti-money laundering (AML) controls and liquidity buffers are enforced.

“But this is just the starting point. There are still many problems to be solved and global consensus needs to be further consolidated,”

said the IMF Deputy Managing Director.

His comments come at a time when the global regulatory landscape is shifting rapidly. The United States recently passed the Genius Act, a landmark bill offering regulatory clarity for USD-backed stablecoins. Hong Kong has followed suit, with its Stablecoin Ordinance set to take effect on August 1, 2025.

The IMF has noted a ripple effect from these developments, with increased pressure on countries such as Russia, South Korea, and China to accelerate their own stablecoin legislation to remain competitive.

With stablecoins poised to play a larger role in the financial ecosystem, Li’s remarks highlight the urgency for clearer, unified rules — and a shared understanding of what stablecoins truly represent in the modern economy.

 

If you want to read more news articles like this, visit DeFi Planet and follow us on Twitter , LinkedIn , Facebook , Instagram , and CoinMarketCap Community.

“Take control of your crypto portfolio with MARKETS PRO, DeFi Planet’s suite of analytics tools.”

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!