logo

US Treasury Predicts Stablecoin Market Could Surge to $2 Trillion by 2028

By: cryptosheadlines|2025/05/03 08:45:01
0
Share
copy
Airdrop Is Live CaryptosHeadlines Media Has Launched Its Native Token CHT. Airdrop Is Live For Everyone, Claim Instant 5000 CHT Tokens Worth Of $50 USDT. Join the Airdrop at the official website, CryptosHeadlinesToken.com With the growth of the cryptocurrency and digital asset economy has come the expansion of the stablecoin market in the United States and abroad, stated the US Treasury in a report released on April 30.The research noted that there could be an 8.3x increase from the current stablecoin market cap of $234 billion in April 2025 to about $2 trillion by 2028.“Evolving market dynamics have the potential to accelerate stablecoins’ trajectory to reach $2 trillion in market cap by 2028.”Big Predictions for Future GrowthThis projection assumes the passage of the GENIUS Act in the US, which would establish clear regulatory guidelines and drive market confidence and adoption.The GENIUS Act (Guiding and Establishing National Innovation for US Stablecoins) defines “payment stablecoins” as digital assets redeemable at a fixed value, pegged to fiat, but non-yield-bearing. It also sets out reserve rules for stablecoin issuers.In early April 2, the US House Financial Services Committee passed the STABLE Act, which gives the Office of the Comptroller of the Currency (OCC) the authority to approve and supervise “federally qualified nonbank payment stablecoin issuers.”Stablecoin reserve requirements could also drive large demand for short-dated U.S. Treasuries, it stated. Projections suggest stablecoin issuers could hold around $1 trillion in T-bills by 2028 if growth hits expectations.The Treasury also predicted that stablecoin transactions could rise from around $700 billion per month today to around $6 trillion per month by 2028, which is roughly 10% of global forex spot transactions.If regulatory clarity is achieved, stablecoins could become a mainstream financial instrument not just for crypto users, but for traditional finance, corporate treasury, and even sovereign liquidity management.Potential drivers of stablecoin growth. Source: US Treasury DeptFor users in emerging markets, stablecoins provide direct access to US dollars without needing a US bank account, strengthening the currency’s global role, the report noted.Stablecoin Ecosystem OutlookThe current stablecoin market capitalization is $244.5 billion, which represents around 8% of the total crypto market cap, which is just over $3 trillion, according to Coingecko.The lion’s share of the stablecoin market is currently dominated by Tether, which has a 61% share with $149 billion USDT in circulation.Circle is second with $61 billion in USDC circulation, giving it a 25% market share, and decentralized USDS (formerly DAI) is third with 3% of the stablecoin market.PayPal has seen significant growth for its PYUSD stablecoin this year. However, it has less than 0.36% market share. The company partnered with Coinbase recently to boost the adoption of its dollar-pegged stablecoin.SPECIAL OFFER (Sponsored)Binance Free $600 (CryptoPotato Exclusive): Use this link to register a new account and receive $600 exclusive welcome offer on Binance (full details).LIMITED OFFER for CryptoPotato readers at Bybit: Use this link to register and open a $500 FREE position on any coin!Source link

You may also like

How to balance risk and return in DeFi yields?

Have these yields ever been reasonable? Have we ever received the compensation we deserve for the risks taken in DeFi, and where should the future spreads be set?

Tom Lee's Ethereum Thesis: Why the Man Who Called the Last Cycle Is Doubling Down on Bitmine

Tom Lee is emerging as one of Ethereum’s most influential supporters. From Fundstrat to Bitmine, his Ethereum thesis combines staking yield, treasury accumulation, and long-term network value. Here is why “Tom Lee Ethereum” has become one of crypto’s most watched narratives.

Naval personally takes the stage: The historic collision between ordinary people and venture capital

Naval personally stepped in as the chairman of the USVC Investment Committee. This SEC-registered fund launched by AngelList attempts to bring top private tech assets like OpenAI, Anthropic, and xAI to the general public with a $500 entry threshold. It is not just a new fund, but a structural experi...

a16z Crypto: 9 Charts to Understand the Evolution Trends of Stablecoins

Stablecoins are evolving from trading tools into universal payment infrastructure, and this process is quieter and more thorough than most people expected.

Refutation of Yang Haipo's "The End of Cryptocurrency"

This may be the true test of cryptocurrency. It's not about whether the price has reached a new high, nor about who will achieve financial freedom in the next bull market, but rather whether, after all the grand narratives have been washed away by cycles, it can still leave behind some simpler, more...

Can a hairdryer earn $34,000? Interpreting the reflexivity paradox of prediction markets

Prediction markets are essentially betting on reality, and when participants can access or even influence this path earlier, the market no longer just reflects reality but begins to shape it in return.

Popular coins

Latest Crypto News

Read more