We quantify the risk of stablecoin devaluation—highlighting parallels to currency pegs and showing how market volatility, leverage, and arbitrage frictions drive de-peg episodes.

We model cryptocurrency adoption in emerging markets and show that stablecoin-based digital dollarization improves welfare, while volatile cryptocurrencies like Bitcoin impose welfare losses—explaining low adoption in cases like El Salvador.

Tweets with macroeconomic content drove USD appreciation and reduced volatility—consistent with markets interpreting Trump as a biased public signal.

Using trades between the stablecoin treasury and private investors, we quantify how improved arbitrage design stabilizes the price of the dominant stablecoin, Tether.

We investigate price‑setting in FX swaps: a one‑standard‑deviation shock in order‑flow leads to substantial price impact, driven by quarter‑end pressures and funding‑cost dispersion.