Dollar-backed stablecoins can push local currencies lower, Bank of Korea study finds

Dollar stablecoins can weaken local currencies, BOK finds

Bank of Korea researchers found direct fiat-stablecoin trading can transmit crypto demand into FX markets and pressure local currencies.

Dollar-backed stablecoins can push local currencies lower, Bank of Korea study finds

Bank Of Korea Stablecoin-FX Linkages Study

A Bank of Korea issue note finds that stablecoin pairs on Binance let demand for dollar-pegged tokens move the exchange rates of paired currencies.

Stablecoin Demand Can Weaken Local Currencies, BOK Study Finds

Summary: Direct fiat-to-stablecoin markets strengthen the connection between crypto demand and FX rates. Binance listings reduced local stablecoin premiums by […]

Bank of Korea study links stablecoin demand to weaker fiat

A Bank of Korea study links stablecoin demand to weaker local currencies. What it means for crypto liquidity, BTC, and the macro bear.