# FSB Urges Cross-Border Planning for Stablecoin Reserve Crises

By Riza Dagoc

Canonical URL: https://www.tokenpost.com/news/regulation/30220
Published: 2026-10-12T11:04:33.000Z
Updated: 2026-10-12T11:04:33.000Z
Section: Regulation

> The watchdog warned that affiliated issuers may hold reserves in different jurisdictions while redemption demand concentrates in one market.

The Financial Stability Board urged governments and regulators to coordinate across borders on stablecoin monitoring and crisis planning as complex issuer structures remain untested during severe stress or insolvency.

Stablecoins had a total market value of about $300 billion as of mid-2026, with 99% by value pegged to the U.S. dollar. Its recommendations focus on information sharing, monitoring and preparations for distress or failure.

Stablecoins jointly guaranteed by affiliated companies create cross-border risks. One issuer could face concentrated redemption demands while reserves supporting the token are held in another jurisdiction, complicating an emergency response.

The market operates around the clock, while reserve markets follow set schedules. During a crisis, that mismatch could accelerate selling and pressure a token’s peg. Pseudonymous transactions can also make it harder to identify holders, liabilities and the jurisdictions involved.

“Global stablecoins and national regulatory frameworks remain untested in severe stress and insolvency,” the FSB said.

The recommendations are not legally binding. They build on the FSB’s 2023 call for cross-border cooperation, data access, recovery and resolution plans, and timely redemption at par for single-fiat stablecoins. Finance ministers and central bank governors from the G20 are scheduled to meet Oct. 15.