This report was created to help product builders, fintech teams, and developers understand how to navigate the stablecoin landscape with clarity and confidence. It breaks down the mechanics of stablecoins, the infrastructure required to use them, and the regulatory context shaping their future. Whether you’re exploring payments, remittances, or neobank products, this guide offers practical insights to help you go from idea to launch.
Key Takeaways from This Report:
- Stablecoins are no longer just for crypto-native users. They are now powering global payroll, consumer payments, savings tools, neobank platforms, and more across emerging markets and enterprise products.
- The issuer, token design, and underlying chain define how your product functions. Choosing wisely reduces technical, regulatory, and reputational risk, while also building a strong foundation of trust with users, partners, and regulators.
- Blockchain rails offer advantages over traditional systems in key areas. Settlement times, 24/7 availability, and sub-cent transaction costs enable use cases that ACH, SWIFT, or card networks can’t match.
- Regulatory clarity is improving fast across major jurisdictions. In the U.S., the recently signed GENIUS Act establishes foundational standards for stablecoin oversight. Meanwhile, frameworks like MiCA in the EU continue to set clear guidelines for compliance across the sector.
- Launching a stablecoin app or feature set is no longer a massive lift. Modular tools like Dynamic’s Stablecoin Accounts eliminate the need to piece together wallets, KYC, on-ramps, and blockchain integrations manually, allowing you to launch in days, not months.
Why Stablecoins Need Regulation?
- Financial stability: Global regulators are concerned that unregulated stablecoins could weaken local currencies, disrupt monetary policy, or create financial instability in a crisis. By operating outside existing financial frameworks, stablecoins could introduce unforeseen systemic risks. To counter this, frameworks like the EU’s MiCA impose usage limits and supervisory oversight.
- Anti-money laundering and consumer protection: Because stablecoins can move quickly and across borders without intermediaries, they can slip through the cracks of traditional compliance systems. To reduce these risks, regulators require stablecoin issuers and platforms to follow anti-money laundering (AML) and know-your-customer (KYC) rules, just like banks and payment processors.
- Reserve backing and redemption assurance: Stablecoin users need confidence that their tokens can be redeemed at full value at any time. To support this, regulations require issuers to maintain one-to-one reserve backing, offer clear redemption rights, and publish regular attestations.
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