Visa and Mastercard Execs Recently Dismissed Stablecoin Utility. Should Crypto Investors Be Concerned?

Core Viewpoint - Stablecoins are rapidly growing, with a 49% increase last year and a combined market cap of $250 billion for Tether and USDC [1] Group 1: Industry Perspective on Stablecoins - Executives at Visa and Mastercard express skepticism about the demand for stablecoins, stating there is limited utility beyond cross-border payments [2][3] - They argue that in developed markets, stablecoins lack a "product-market fit" as consumers prefer existing payment options [3] Group 2: Advantages of Stablecoins - Stablecoins offer 24/7 settlement and faster payment finalization compared to traditional methods, which can take days [4] - Some stablecoins provide attractive yields, appealing to consumers looking for better returns than traditional bank accounts; Standard Chartered predicts $500 billion in bank deposits will shift to stablecoins by 2028 [6] Group 3: Investment Landscape - There are currently nine stablecoins with market caps exceeding $1 billion, including Tether, USDC, a stablecoin from PayPal, and one from Ripple [7]