Stablecoin Market Could Reach $4 Trillion by 2030, Citi Says in Revised Forecast

Core Insights - The stablecoin market is experiencing rapid growth, with issuance volumes increasing from approximately $200 billion at the beginning of 2025 to $280 billion as of Thursday, prompting Citi to revise its 2030 forecast for stablecoin issuance to $1.9 trillion in the base case and $4 trillion in the bull case, up from previous estimates of $1.6 trillion and $3.7 trillion respectively [1][2] Group 1: Market Growth and Projections - Stablecoins could facilitate up to $100 trillion in annual transactions by 2030 under the base scenario, potentially doubling in the bull case, reflecting a significant shift in digital currency adoption driven by blockchain technology [2] - The issuance of stablecoins is part of a broader transformation in financial infrastructure, with various forms of digital money, including stablecoins, bank tokens, and CBDCs, expected to coexist and serve different purposes [4] Group 2: Competitive Landscape - While stablecoins are growing, bank tokens, such as tokenized deposits, may see higher transaction volumes due to corporate demand for regulatory safeguards and real-time settlement, with potential turnover exceeding $100 trillion by the end of the decade [3] - The U.S. dollar remains the dominant currency in on-chain finance, driving demand for Treasuries, although regions like Hong Kong and the UAE are emerging as experimental hubs for digital finance [4]