Moody's Warns of Hidden Risks in $300B Stablecoin Market

Moody's warns of hidden risks in the $300B stablecoin market, which are pegged to fiat or gold. Even fiat-backed coins have suffered temporary depegs under pressure, highlighting their credit-like nature and dependence on reserves, governance, and redemption ability. Weak oversight and poor asset management can trigger broader market stress. New regulations aim to address gaps in traditional regulatory frameworks.