The G7 group on stablecoins says these new payment methods could create major financial stability risks and undermine efforts to combat money laundering and terrorist financing.

In its final report, published today (October 18), the group acknowledges shortcomings in existing cross-border payment systems. But it says a “global stablecoin”, or GSC, could rapidly scale up to become a systemic threat to the global financial system.

The G7 group is handing over its regulatory remit to the