#BNBBreaksATH The Impact of Stablecoins on the Ethereum Network
Geoff Kendrick, Head of Digital Asset Research at Standard Chartered, said: "We expect the stablecoin sector to grow by about 8 times by the end of 2028, which will have a direct and significant impact on fees in the Ethereum network."
Most stablecoins are issued and traded on the base blockchain of Ethereum, which increases the demand for Ethereum to pay transaction fees. The long-term growth of Ethereum depends on the use of its main network (Layer 1) for high-value transactions, especially those related to traditional finance. Kendrick explained that a significant increase in Layer 1 capacity will help achieve this goal