Stablecoins could power $100trn transactions by 2030 — Citi

Stablecoins could power $100 trillion in transactions as it is set for explosive growth, a new report from the Citi Institute stated.

Like ChatGPT transformed the trajectory of artificial intelligence, stablecoins are poised to become a breakthrough force in global finance, the study shows.

According to the study, Stablecoins 2030: Web3 to Wall Street, it is projected that there will be rapid adoption of stablecoins as corporations, banks, and payment systems accelerate their shift to digital money.

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The report estimates that stablecoins could reach a market size of $1.9 trillion by 2030 under its base case, with a bullish scenario pushing that figure to $4 trillion.

A growth which could underpin up to $100 trillion in transactions, powered by digitally native companies, e-commerce platforms, and rising global demand for the U.S. dollar.

Yet, Citi warns that non-bank-issued stablecoins will not be the only players in the digital currency race.

Bank-issued tokens, including tokenised deposits and deposit tokens, are expected to play an even larger role in liquidity management, payments, and corporate treasury operations.

The report projects bank tokens could handle between $100 trillion and $140 trillion in transactions by 2030, eclipsing the scale of stablecoins.

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“Stablecoins will not operate in isolation. They will share the stage with bank tokens, central bank digital currencies (CBDCs), and other emerging formats, each competing on trust, privacy, and regulatory alignment,” the report added.

Privacy concerns, evolving regulatory frameworks, and user caution around new digital formats remain hurdles for adoption.

Citi highlights that programmability, which is the ability to embed real-time reconciliation and compliance directly into money, could be the key feature that drives mainstream utility.