Stablecoins, Blockchain To Have “ChatGPT Moment”: Citigroup

Banking giant Citigroup says 2025 could be a “ChatGPT moment” in terms of adoption for stablecoins and blockchain technology.

“The main catalyst for their greater acceptance may be regulatory clarity in the US, which could enable greater integration of stablecoins specifically, and blockchain more widely, into the existing financial system,” financial analysts at the bank said in an April 23 report.

Citigroup Sees Stablecoin Market Cap Soaring To $3.7 Trillion By 2030

“The tailwinds of regulatory support and the increased integration of digital assets into incumbent financial institutions are setting the stage for increased usage for stablecoins,” the Citigroup analysts said in the report.

With the anticipated surge in usage for stablecoins, the banking titan predicted that the market cap for stablecoins could soar to as high as $3.7 trillion by the end of the decade in a bull case. In a base case, this figure is expected to rise to $1.6 trillion, according to Citigroup.

Citibank report on Digital Dollars (aka dollar stabelcoins). Tons of TLDRs, including page 7 (included here), but Citi now sees $1.6T to $3.5T in dollar stablecoin money supply by 2030. 2025 is the transformative year.https://t.co/0AwH4eciLs pic.twitter.com/0HRyIVK0Pc

— Jeremy Allaire – jda.eth / jdallaire.sol (@jerallaire) April 24, 2025

Adding to the bullish prediction is the growing regulatory clarity around digital assets in the US under the Trump administration. 

Since pro-crypto lawmakers assumed power in the US earlier this year, stablecoin legislation such as the GENIUS Act, which seeks to regulate US stablecoins, has already been put forward and is being reviewed.

Stablecoin Issuers Could Become Largest Holders Of US Treasuries

If the US does establish a stablecoin regulatory framework, it could lead to demand for dollar-based risk-free assets both inside and outside of the US, the report added.

The potential regulatory framework might then push stablecoin issuers to buy more US Treasuries, or assets with the same amount of risk, as their coins grow. This, according to Citigroup, could see stablecoin issuers become the largest holder of US Treasuries by 2030 globally.

Citigroup went on to predict that the stablecoin supply will continue to be mainly dollar-based, adding that non-US countries will likely either promote a national currency or central bank digital currency (CBDC).

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