IMF: UNITED STATES DOLLAR PEG STABILIZATION CURRENCY IN TIMES OF CRISIS OR TO TRIGGER BANK RUN-OFF RISK

According to Digital Asset, a study released by the International Monetary Fund (IMF) on 10 July indicated that a dollar-linked stable currency could accelerate the transfer of funds from local currency to United States dollar assets in times of crisis, creating a systemic risk of similar bank squeezes. Simulation data show that the probability of a crisis rises from 3.9 per cent to 7.4 per cent in economies with a stable currency spread, with a maximum decline of 6.3 per cent in the welfare of the population in the largest exchange rate deviation. Using the example of Bolivia, the report notes that since the opening of digital asset transactions in 2024, USDT prices have become the main reference indicator for the United States dollar exchange rate in parallel markets. The IMF recommended macroprudential measures such as temporary restrictions on large transactions and panic sales。