U.S. Stablecoin Push Threatens BRICS De-Dollarization Plans

▲ Stablecoin

As the United States accelerates its regulatory drive on stablecoins, the BRICS bloc’s de-dollarization strategy is facing an unexpected “digital headwind.” Whether dollar-based stablecoins will be allowed to offer interest (yield) has emerged as a key variable that could reshape the monetary order in emerging markets.

According to cryptocurrency media outlet CCN on February 20 (local time), the White House held a third meeting between banking industry representatives and crypto policy experts to discuss stablecoin regulations in an effort to break the deadlock surrounding the Digital Asset Market Clarity Act. The central issue was whether platforms such as Coinbase should be allowed to provide interest to users on dollar-based stablecoins.

The banking sector is calling for a complete ban, arguing that interest-bearing stablecoin products could erode their deposit-based business models. In contrast, the crypto industry insists that recognizing such products within a regulatory framework would strengthen U.S. competitiveness. Ji Kim, CEO of the Crypto Council for Innovation, said the meeting was part of efforts to establish a framework that protects U.S. consumers while enhancing competitiveness. Coinbase Chief Legal Officer Paul Grewal also described the discussions as “constructive and collaborative,” though no concrete agreement was reached.

The concern is that U.S. stablecoin policy could directly impact BRICS’ de-dollarization strategy. If users in emerging markets facing high inflation shift toward dollar-based digital assets and related yield products, it could accelerate digital dollarization through everyday choices rather than formal policy. Unlike efforts to reduce dollar dependence through traditional financial systems, blockchain-based assets are more accessible across borders and significantly harder to control.

Russia, China, and India are seeking to build payment infrastructure separate from the Western financial system through central bank digital currencies (CBDCs). However, if the United States finalizes a clear regulatory framework that includes allowing stablecoins to offer interest, the dollar’s influence in the global digital asset market could instead be strengthened. This suggests that BRICS’ push for de-dollarization faces increasingly complex challenges, not only in traditional finance but also in the digital economy.

Ultimately, the key question is whether the United States will legalize stablecoin yield products and how broadly it will permit them. The decision is expected to mark another watershed moment in the global currency hegemony competition, extending far beyond simple cryptocurrency regulation.

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