Stablecoin Demand Predicted to Reach Trillions, Says U.S. Treasury Official

A senior U.S. Treasury official has projected that the global demand for stablecoins could surge into the trillions of dollars in the coming years, driven by growing adoption in cross-border payments, decentralized finance (DeFi), and mainstream commerce. Speaking at a recent financial innovation forum, the official emphasized the need for clear regulatory frameworks to support this growth responsibly.

Stablecoins like USDT (Tether) and USDC (USD Coin) are increasingly being used as digital cash equivalents, offering fast and low-cost transactions. The Treasury acknowledged their potential to revolutionize financial systems but warned of systemic risks if not properly regulated.

This statement follows the recent passage of the GENIUS Act, signaling a turning point in U.S. policy toward stablecoins. With regulatory clarity on the horizon, analysts believe cryptocurrencies backed by fiat like USDC, and algorithmic stablecoins such as DAI, could see explosive growth and mainstream usage globally.