Stablecoins Gain Popularity in Emerging Markets Amid Currency Pressures

Stablecoin adoption has been increasing in emerging markets as residents seek to safeguard their savings and pay for transactions abroad using dollar-denominated digital assets.

A recent IMF study on 188 countries found that $21.4 trillion worth of stablecoin transactions took place from 2018 to 2025, with approximately 75% coming from emerging and developing countries.

The research also showed that stablecoin activity increases by around 30% after six months of imposing capital controls, and by a whopping 75% over the course of a year after a currency crisis.

Nigeria is a prime example of this trend, with stablecoins accounting for over 65% of Nigeria's crypto inflows in 2024.