Ripple's CEO, Brad Garlinghouse, says there is a widespread belief that the stablecoin market could grow nearly tenfold in the coming years.
The stablecoin industry currently has a market capitalization of around 250 billion dollars, and "many people believe it will reach 1 to 2 trillion dollars in a few years," Garlinghouse said on CNBC's "Squawk Box" on Wednesday.
He added that the growth behind this has been "deep," stating that Ripple entered the market late in part because they were using stablecoins in their payment flows for their institutional clients.
"We can participate in this [stablecoin] market given our institutional history and regulatory compliance," he said, confirming that future growth will benefit the firm.
The comments came as Garlinghouse announced that BNY Mellon would be the custodian of the firm’s stablecoins for its dollar-pegged asset, Ripple USD.
Ripple launched its own enterprise-focused stablecoin, RLUSD, in late 2024. Since then, its market capitalization has grown to 500 million dollars, a milestone it reached on Wednesday.
