Stablecoins Could Hit $3.7 Trillion by 2030, Says Citigroup Report
- Stablecoins could hit a market cap of $3.7 trillion by 2030 if adoption accelerates.
- Issuers like Tether may become leading buyers of US Treasuries, reshaping debt markets.
- Legal clarity is essential for stablecoins to go mainstream and support public sector innovation.
Stablecoins are set to shift from the periphery to the mainstream in the world of crypto, says a new report from the Citi Institute. The report forecasts that the total stablecoin market cap could reach $1.6 trillion by 2030 and possibly soar to $3.7 trillion if adoption accelerates.
These crypto tokens, typically pegged to fiat currencies like the US dollar, have already seen significant growth. Citi notes that the trend is far from over. Issuers of stablecoins may turn out to be some of the biggest US Treasury buyers. Tether (USDT), for example, was among the top seven holders of US government debt in 2024. By 2030, stablecoin issuers may demand up to $1 trillion in Treasuries to back their coins with safe, liquid assets.
Stablecoins at a Crossroads: Adoption Rises Amid Regulatory and Technical Hurdles
Citi predicts that 2025 might be a crucial “ChatGPT moment” for blockchain when its adoption soars in finance and government. Yet this shift depends on regulatory clarity. The US has already leaped by enacting legislation for how stablecoins should be backed and issued, something that can open the door for them to become mainstream financial tools.
Despite global experiments with central bank digital currencies, Citi expects nearly 90% of stablecoins to stay dollar-pegged. This makes them particularly attractive in regions with restricted access to US dollars.
However, stablecoins still face challenges. Citi recorded over 1,900 cases in 2025 alone where stablecoins temporarily lost their $1 peg. Events like the 2023 Silicon Valley Bank collapse tested USDC’s stability. Technical risks, hacks, and concerns about destabilising traditional banks also remain.
Beyond payments, governments are exploring blockchain for diverse public applications such as issuing digital bonds, tracking spending, and managing aid or identity systems. The US is even piloting blockchain tools under a new initiative called the Department of Government Efficiency (DOGE).
Ryan Rugg, Head of Digital Assets at Citi, emphasised the need for legal and technical infrastructure. <blockquote> Stablecoins could serve as the key utility to bridge today’s financial systems with tomorrow’s smarter, faster alternatives, <blockquote> she said.
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Stablecoins Could Hit $3.7 Trillion by 2030, Says Citigroup Report
- Stablecoins could hit a market cap of $3.7 trillion by 2030 if adoption accelerates.
- Issuers like Tether may become leading buyers of US Treasuries, reshaping debt markets.
- Legal clarity is essential for stablecoins to go mainstream and support public sector innovation.
Stablecoins are set to shift from the periphery to the mainstream in the world of crypto, says a new report from the Citi Institute. The report forecasts that the total stablecoin market cap could reach $1.6 trillion by 2030 and possibly soar to $3.7 trillion if adoption accelerates.
These crypto tokens, typically pegged to fiat currencies like the US dollar, have already seen significant growth. Citi notes that the trend is far from over. Issuers of stablecoins may turn out to be some of the biggest US Treasury buyers. Tether (USDT), for example, was among the top seven holders of US government debt in 2024. By 2030, stablecoin issuers may demand up to $1 trillion in Treasuries to back their coins with safe, liquid assets.
Stablecoins at a Crossroads: Adoption Rises Amid Regulatory and Technical Hurdles
Citi predicts that 2025 might be a crucial “ChatGPT moment” for blockchain when its adoption soars in finance and government. Yet this shift depends on regulatory clarity. The US has already leaped by enacting legislation for how stablecoins should be backed and issued, something that can open the door for them to become mainstream financial tools.
Despite global experiments with central bank digital currencies, Citi expects nearly 90% of stablecoins to stay dollar-pegged. This makes them particularly attractive in regions with restricted access to US dollars.
However, stablecoins still face challenges. Citi recorded over 1,900 cases in 2025 alone where stablecoins temporarily lost their $1 peg. Events like the 2023 Silicon Valley Bank collapse tested USDC’s stability. Technical risks, hacks, and concerns about destabilising traditional banks also remain.
Beyond payments, governments are exploring blockchain for diverse public applications such as issuing digital bonds, tracking spending, and managing aid or identity systems. The US is even piloting blockchain tools under a new initiative called the Department of Government Efficiency (DOGE).
Ryan Rugg, Head of Digital Assets at Citi, emphasised the need for legal and technical infrastructure. <blockquote> Stablecoins could serve as the key utility to bridge today’s financial systems with tomorrow’s smarter, faster alternatives, <blockquote> she said.
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Stablecoins Could Bring 'ChatGPT' Moment to Blockchain Adoption, Hit $3.7T by 2030: Citi