The author, the CEO of BVI Finance, argues that stablecoins are no longer a novelty, but a regular part of how global financial markets operate.

The following article from Elise Donovan (main picture), CEO of BVI Finance, examines why a growing number of Latin American companies are looking to the British Virgin Islands to structure and scale their digital asset ventures. The opportunity is significant, with the global digital asset market forecast to be worth between $8 trillion and $13 trillion by 2030. 

The editors are pleased to share these views; the usual editorial disclaimers apply. To comment, email tom.burroughes@wealthbriefing.com and amanda.cheesley@clearviewpublishing.com

Stablecoins have moved from being a novel cryptocurrency to becoming mainstream financial infrastructure. But in Latin America, adoption is accelerating for reasons that go beyond investor appetite. 

In markets where currencies tend to be more volatile, fluctuating exchange rates can make it harder for businesses and individuals to manage their cash and costs, while capital controls can restrict access to foreign currency, and conventional cross-border payments can remain slow and expensive.

In fact, in the region, 71 per cent of Latin American firms use stablecoins specifically for cross-border payments, the highest rate of any region globally. In Argentina, more than 61.8 per cent of transactions now take place through stablecoins. 

For many families and businesses, stablecoins are increasingly a practical response to currency volatility, restricted access to foreign currency and the cost and speed of cross-border payments.

For decades, international financial centres (IFCs) such as the British Virgin Islands (BVI) have helped Latin American families structure and manage cross-border wealth. As digital assets become part of private portfolios, the same principles of governance, ownership and continuity are increasingly being applied to new forms of value.

Wealth preservation in Latin America has always been international
Latin American families have long looked beyond their domestic markets to preserve and grow wealth. The region’s wealth management market is expected to reach $1.36 trillion by 2030, reflecting both the growth of private wealth and the increasing sophistication with which it is managed.

Two decades ago, much of the international movement of Latin American capital was driven by wealth protection and defensive dollarisation. Families used dollar assets, overseas investments and international structures to reduce exposure to inflation, exchange-rate volatility and concentration in one political or economic system. This need remains, but international allocation has become considerably more sophisticated.

Today, international diversification is not only about moving from a local currency into dollars but increasingly includes global asset-allocation strategies, private credit, venture capital, international real estate, infrastructure and succession planning. Portfolios are still evolving, with 61 per cent of Latin American family offices planning changes to their strategic asset allocation. 

Digital assets have not created Latin America’s demand for international diversification. They have created a new route through which it can take place, giving families and businesses new ways to access, hold and transfer dollar-linked value beyond traditional banking channels. 

Digital assets are becoming a private-wealth toolkit
Latin America has the highest current use of alternative investments of any global region, at 70 per cent, with future use expected to reach 79 per cent. Digital assets are increasingly becoming part of that shift. Between July 2022 and June 2025, the region recorded nearly $1.5 trillion in cryptocurrency transaction volume. 

But as they do, they shouldn’t be treated as a single investment category. And family offices' approach to crypto reflects this; only 24 per cent of family offices globally hold crypto or digital assets, generally at allocations of around 1 per cent. However, 44 per cent of these already invested consider crypto part of their strategic allocation.

The more important shift is therefore in how digital assets are being used. Different digital assets serve different purposes: stablecoins can support liquidity and cross-border payments, tokenised US Treasuries can add dollar-denominated yield, and bitcoin or other cryptocurrencies may offer limited long-term alternative exposure, but not short-term currency hedging.

For Latin American families, stablecoins are particularly relevant because they can also provide easier access to dollar-linked value. With approximately 98 per cent of stablecoin value denominated in US dollars, they are effectively creating another route through which dollars can be accessed, held and transferred.

Therefore, the case is not for replacing a diversified portfolio with crypto, but for using specific assets to address specific needs. Increasingly, they are moving from an isolated trade towards one component of a wider private-wealth toolkit: stablecoins for payments and liquidity, tokenised investments for access to conventional assets and bitcoin for limited long-term alternative exposure.

But these assets do not remove risk; rather, they change its form. Currency exposure can be replaced by questions about reserves, custody, cybersecurity, private-key access, liquidity, legal ownership and tax treatment. As digital assets become integrated into family wealth, professional management becomes more important.

Digital wealth still needs long-term structure
Moving or acquiring a digital asset is only one part of the challenge. For wealth to remain controlled, compliant and accessible across generations, it must be connected to appropriate governance, custody and succession arrangements. A stablecoin can move in seconds, but it cannot decide who legally owns it, who may authorise a transaction or what happens if the person controlling the wallet dies or loses capacity.

Only 35 per cent of family offices have a defined succession plan for the office itself, while just 27 per cent have a structured process for preparing the next generation. Digital assets make those gaps more consequential because access can depend on custody arrangements and control of private keys.

This is where international financial centres become important. 

The role of IFCs in structuring digital wealth
The BVI has long provided a platform for family offices to structure cross-border wealth, manage succession and establish clear governance over complex assets. As digital assets become part of private-wealth portfolios, that role becomes more important. Families need trusted legal frameworks that can connect fast-moving digital value to recognised ownership, control and continuity arrangements. The value of IFCs lies in connecting digital wealth to established structures that provide those arrangements and continuity. 

As this market develops, IFCs are already playing a tangible role in tokenised finance. As of 1 June 2026, BVI entities accounted for more than 10 per cent of global US tokenised treasuries, representing approximately $1.5 billion in value. The same analysis identified $1.2 billion in stablecoins and 305 tokenised securities linked to BVI entities, highlighting how tokenised finance is already being structured through international financial centres.

An appropriate structure can establish who owns the assets, who can exercise control, what approvals are required and how that control passes between generations. Custody policies, investment mandates and key-management procedures can then be aligned with those legal arrangements.

The BVI has worked with Latin American families and advisors for four decades, and the region represents approximately 20 per cent of its international business market. As the sources and forms of family wealth continue to diversify, that combination of cross-border experience, legal infrastructure and digital-asset capability will become increasingly important.

No international structure removes home-jurisdiction tax, disclosure or reporting requirements. The appropriate approach will depend on the family’s residence, assets, beneficiaries and desired level of control. The objective is to ensure that digital wealth can be identified, governed and transferred when circumstances change.

Latin America’s adoption of stablecoins is already being driven by necessity. The next stage will be defined by whether digital assets can be governed responsibly, protected through periods of disruption and transferred successfully to the next generation.

The future of private wealth may increasingly be on-chain, but it will still require trusted legal frameworks, experienced IFCs and long-term planning to endure. Jurisdictions such as the BVI will continue to play an important role in connecting digital innovation with the governance and continuity that wealth preservation demands.