Citigroup forecasts stablecoin market to reach $1.9T by 2030

Citigroup predicts the stablecoin market will grow in tandem with the broader cryptocurrency market, potentially reaching a size of $1.9 trillion by 2030. This represents an upward revision from the bank's previous forecast of $1.6 trillion. According to Citigroup, stablecoins serve as an on-ramp to the cryptocurrency market and currently account for 5% to 10% of its total capitalization. The bank noted that significant growth drivers could be found in developing countries and projected that the impact on traditional bank deposits would be limited. While the market is currently dominated by U.S. dollar-pegged stablecoins, Citigroup observed that euro-pegged alternatives are also growing and stated that regulations outside the United States will significantly influence the market.