BIS outlines financial stability risks from AI and digital finance

Tao Zhang, BIS Chief Representative for Asia and the Pacific, outlined the financial stability implications of AI and digital finance, including tokenisation, in prepared remarks delivered at International Financial Week in conjunction with the Asian Financial Forum in Hong Kong on 26 January 2026.

• Main announcement: He set out three concrete channels of financial stability risk — market functioning and liquidity, operational dependencies and resilience, and amplification and propagation of stress — and urged international cooperation and stronger governance frameworks to address risks arising from AI, cloud dependence, specialised hardware and tokenisation.
• Event and supporting details:
  • Date: 26 January 2026
  • Location: Hong Kong (International Financial Week, in conjunction with the Asian Financial Forum)
  • Subject/agenda: “Development and innovation of AI and digital finance”; remarks prepared for delivery by Tao Zhang; BIS will support analysis and interoperability via forums such as the BIS Innovation Hub and coordinate with the FSB and IMF.