Citi forecasts a massive surge in stablecoin adoption over the next five years, projecting total circulation could rise from around $230 billion today to between $1.6 trillion and $3.7 trillion by 2030. The bank attributes this potential growth to increasing regulatory clarity in the U.S.—a shift that could act as blockchain’s “ChatGPT moment” in 2025.
In its latest research, Citi argues that the key enabler for stablecoin adoption will be the development of a clear and consistent U.S. regulatory framework. Such progress would allow for deeper integration of both stablecoins and blockchain technology into mainstream financial infrastructure.
Citi expects that 90% of all stablecoins will remain USD-denominated, as the U.S. continues to resist pursuing a central bank digital currency (CBDC), a position echoed by former President Donald Trump. Meanwhile, other countries are likely to invest in CBDC development, differentiating the global approach to digital currencies.
The report also notes that stablecoin issuers could become major holders of U.S. Treasuries, potentially impacting demand for government debt. However, while stablecoins may compete with traditional banks by diverting deposits, Citi believes banks can still benefit—either as issuers, or as part of the pay-in/pay-out and liquidity provision infrastructure.
The research signals a possible reconfiguration of financial services, with stablecoins becoming foundational to next-generation banking and payments systems.