FSB's Bailey warns G20 that cross-border stablecoin oversight remains immature
In brief
- FSB Chair Andrew Bailey said cross-border stablecoin oversight mechanisms remain immature or undeveloped.
- FSB's 2025 review found 11 of 28 surveyed jurisdictions had finalized stablecoin frameworks.
- G20 finance ministers and central bank governors received the letter ahead of Thursday's meeting.
- Bailey also urged G20 members to back the FSB's newly finalized practices for responsible AI adoption.
What the FSB letter said
The data behind Bailey's warning isn't encouraging. The FSB's 2025 review found that 11 of 28 surveyed jurisdictions had finalized stablecoin regulatory frameworks, according to the letter as reported by Cointelegraph. Put another way, 17 of the jurisdictions in that review hadn't finalized one.
That's fewer than half.
The audience matters here too. Bailey's letter went to G20 finance ministers and central bank governors ahead of their Thursday meeting, so the warning about immature cross-border oversight and crisis management lands in front of those officials days before they sit down together.
AI on the same agenda
Stablecoins weren't the only topic. Bailey also urged G20 members to support the FSB's newly finalized practices for responsible AI adoption in the financial sector.
“AI therefore requires our continued close attention alongside careful management by financial institutions,” Bailey wrote.
So the letter puts two separate issues (stablecoin oversight and AI adoption in finance) in front of the G20 under the FSB's name, with the stablecoin piece framed around gaps that haven't been closed yet.
Elsewhere in the roundup
Cointelegraph's roundup also cited a report from Stripe-backed blockchain Tempo saying the Financial Accounting Standards Board is considering letting qualifying stablecoins count as cash equivalents, a proposal (not an adopted rule) that's open for public comment until Nov. 19.
XRP Ledger developers, in an X post, defended an emergency patch for a bug capable of creating XRP beyond the network's fixed supply, saying they couldn't wait for the usual two-week validator vote without exposing the flaw to attackers; the expedited fix led to questions about XRPL's level of decentralization.
Frequently asked questions
What did FSB Chair Andrew Bailey warn about stablecoins?
In a letter published Monday, Financial Stability Board Chair Andrew Bailey warned that cross-border mechanisms for stablecoin oversight and crisis management remain immature or are not yet developed, according to Cointelegraph's daily roundup.
How many jurisdictions have finalized stablecoin rules, according to the FSB?
The FSB's 2025 review found that 11 of 28 surveyed jurisdictions had finalized stablecoin regulatory frameworks. That's fewer than half of the jurisdictions the FSB surveyed.
Who received the FSB letter, and when?
The FSB submitted the letter to G20 finance ministers and central bank governors ahead of their Thursday meeting. Besides the stablecoin warning, Bailey urged G20 members to support the FSB's newly finalized practices for responsible AI adoption in the financial sector.
