Fragmented Regulation Limits Stablecoin Use in International Trade, WTO Reports
WTO Official Identifies Regulation as the Key Hurdle
Stablecoins, digital currencies tied to stable assets like fiat money, are not being widely used in global trade because of uneven regulations across countries. This is stated by Juan Marchetti, a director at the World Trade Organization (WTO).
Marchetti spoke at a WTO event in Geneva, explaining that the technology for stablecoins is ready, but regulatory frameworks are lacking. He said stablecoins could help solve common problems in trade finance, such as high fees and slow processing times.
Stablecoins Make Up Only 3% of International Payments
- Stablecoins currently account for just 3% of total international payments.
- A report from the Financial Stability Board in October 2025 found that only 39% of 28 surveyed jurisdictions have finalized their regulations for stablecoins.
- The WTO study identified five areas where stablecoins could reduce friction in trade: cost, speed, access, transparency, and foreign exchange limitations.
- Payments using stablecoins across borders grew 35 times between 2020 and mid-2024.
What the WTO Study Confirms
The WTO report verifies that fragmented regulations are the main barrier to stablecoin adoption. It confirms that while stablecoins have potential to improve international payments, the absence of coordinated rules across nations holds back their use.
The growth in stablecoin transactions shows rising interest, but regulatory uncertainty continues to limit broader integration in trade.
Implications for Global Trade Efficiency
Smooth cross-border payments are essential for international business. If regulations remain inconsistent, traders may still face delays and high costs. The WTO suggests that aligning regulatory standards could help unlock the benefits of digital currencies in trade finance.