According to Foresight News, a recent report by CoinDesk highlights that Citigroup has observed an increasing demand for U.S. short-term Treasury bonds, driven by the growing use of stablecoins in both the crypto market and traditional finance.
The report underscores the dominance of dollar-backed stablecoins, such as USDT, in crypto trading and blockchain payments, reflecting the U.S. dollar's status as a global reserve currency. Legislation under consideration by Congress could further solidify this trend by requiring reserves to hold short-term government debt. Additionally, traditional financial giants like PayPal and Visa are exploring stablecoin applications.
Citigroup forecasts that the stablecoin market could expand to between $1.6 trillion and $3.7 trillion by 2030.