📊 Stablecoins may soon become a major force in traditional finance. According to Geoff Kendrick, head of digital assets research at Standard Chartered, once the market hits $750 billion—possibly by 2026—they could impact U.S. Treasury issuance, $USDC demand, and even monetary policy.
💵 Currently at $240B, the stablecoin market is growing fast, fueled by:
New issuers (including banks and local governments)
Regulatory momentum (e.g. GENIUS Act possibly passing next week)
Rising use in emerging markets as digital savings tools
🧠 Kendrick suggests that a $750B stablecoin market would need massive amounts of T-bills, possibly shifting U.S. debt issuance from long-term bonds to short-term bills, flattening the yield curve.
🚨 Emerging market risks: Stablecoins are draining capital from local banks, weakening domestic monetary control.
📈 Investor interest is booming: Circle ($USDC stock is up 540% since going public—underscoring the belief that stablecoins are the backbone of future finance.
🔮 Bottom Line: Stablecoins aren’t just a crypto story anymore—they’re on the brink of reshaping global capital flows, treasury markets, and digital finance as a whole.