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Citi Forecasts Stablecoins’ Expansion Beyond Crypto Into Mainstream Economy

Citi Forecasts Stablecoins’ Expansion Beyond Crypto Into Mainstream Economy

Published:
2025-05-12 09:40:02
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Stablecoins are poised to transcend their origins as crypto trading instruments and penetrate the traditional financial system, according to a Citi research report. Regulatory clarity may accelerate their adoption for payments, remittances, and even as substitutes for foreign currency reserves.

The bank’s Future Finance think tank projects yield-bearing stablecoins could eventually compete with bank deposits. This evolution mirrors the trajectory of money market funds in the 1970s - first as niche products, then as systemic liquidity vehicles.

|Square

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