Issue 44: Decoding Cryptos

20 November 2025

Cryptoasset markets are set for growth following the US crypto bills. Tokenised government securities could become benchmarks for other tokenised assets while US asset backed stablecoins uptake is set to reach US$14trn by 2030. Interlinkages between traditional and cryptoasset markets are expanding. Key risks stem from extreme price volatility, illicit financing, concentrated ownership, spillovers into traditional capital markets, cyberattacks, and the growing “cryptoisation” of emerging markets. For the Fed the rise of US dollar asset back stablecoins reduces the effectiveness of monetary policy and for the world increases exposure to US fiscal risk. The biggest winner is the US government..