A type of digital currency that aims to maintain a stable value relative to that of an underlying asset or benchmark has the potential for mass adoption, but that potential also makes it more vulnerable to criminal abuse, a global standard setter for anti-money-laundering laws said.

The Financial Action Task Force, in a report to the G-20 finance ministers, identified illicit finance vulnerabilities specifically with so-called stablecoins and said risks should be analysed and mitigated before such digital currencies are launched, particularly if they have the potential for mass adoption.