Digital finance is expanding rapidly in 2026, with stablecoins, tokenisation, digital payments and central bank digital currencies (CBDCs) creating new opportunities while raising regulatory and financial stability challenges, according to the International Monetary Fund (IMF) Annual Report 2026.
After years of experimentation, governments and financial institutions in major markets are increasingly adopting technologies based on blockchain and distributed ledgers. Stablecoin use has grown significantly, including in cross-border payments and remittances, while tokenisation is moving towards commercial applications.
By allowing physical and financial assets to be recorded and transferred through programmable digital ledgers, tokenisation could eventually reduce transaction costs, accelerate settlement and make a wider range of assets accessible to investors.
The transformation is being driven largely by non-bank financial institutions and fintech companies, although banks are increasingly adopting digital finance technologies. Asia remains a major testing ground, supported by widespread mobile payments, proactive regulation and regional payment standards.
The IMF also highlights the potential of digital finance to reduce the cost of cross-border payments and improve financial access, areas that are particularly relevant to economies and companies operating across borders.
Opportunities for Portuguese business
For Portuguese companies, the expansion of digital finance creates opportunities beyond the financial sector itself. Fintechs and technology companies can develop solutions for digital payments, fraud prevention, cybersecurity, digital identity, compliance, tokenisation and financial data management.
The development of the digital euro is particularly relevant to Portugal as part of the euro area. The European Central Bank completed the preparation phase for the digital euro in October 2025, establishing the technical foundations for a potential European digital currency. Its development could create opportunities for payment providers, banks, technology companies and other businesses capable of integrating new digital payment solutions into their services.
Portugal's position within the EU Single Market also gives Portuguese fintech and technology companies a potential platform from which to develop solutions for customers and partners across other European markets. Cross-border payments, digital financial services and tokenised assets could create new avenues for internationalisation, particularly for companies able to combine technological expertise with compliance and cybersecurity capabilities.
For Portuguese exporters and companies operating internationally, more efficient digital payment infrastructure could also help simplify transactions with overseas customers and suppliers. At the same time, businesses will need to adapt to evolving European rules governing digital assets, payments, data protection, anti-money-laundering requirements and financial stability.
The IMF warns that digital finance also brings risks. Stablecoins may become unstable if their underlying assets lose value or confidence declines, while large-scale redemptions could affect financial markets. Policymakers are also monitoring risks related to financial stability, currency substitution and financial integrity.
Tokenisation could create additional risks if transactions become excessively rapid, potentially contributing to sharp market movements or “flash crashes”.
The IMF is calling for coherent global regulatory frameworks for digital finance, including measures to manage stablecoin risks and improve the interoperability of payment systems.
For Portugal, the transition therefore represents both a technology and internationalisation opportunity: companies that can provide secure, interoperable and regulation-compliant digital financial solutions could be well positioned to serve the wider European market as digital payments and financial infrastructure continue to evolve.
