Stablecoins Could Usher in 'ChatGPT' Era of Blockchain Adoption, Reach $3.7 Trillion by 2030: Citi

The report predicts that stablecoin issuers could become among the largest holders of U.S. Treasuries, surpassing the largest sovereign states.

Christian Sandor | Edited by Cheyenne Ligon , April 25, 2025, 5:56 PM

What is important to know:

• Global bank Citi suggests that 2025 could be a pivotal year for blockchain adoption thanks to the rise of stablecoins.
• The stablecoin market, primarily tied to the US dollar, could grow to $3.7 trillion by 2030 with regulatory support, according to a Citi report.
• The paper notes that stablecoin issuers could become the dominant holders of U.S. Treasuries, possibly surpassing foreign sovereign holders by the end of the decade.

Global bank Citi predicts that 2025 could be a pivotal moment for blockchain adoption driven by stablecoins, similar to what happened with artificial intelligence (AI) in the years when ChatGPT emerged.

“2025 could be the ChatGPT moment for blockchain,” the bank’s analysts noted in a report published this week.

By subscribing, you will receive emails about CoinDesk products and agree to our terms of use and privacy policy .

Citi’s analysis focuses on stablecoins, a category of cryptocurrencies pegged to traditional currencies like the U.S. dollar. These tokens, which include Tether’s $145 billion USDT and Circle’s $60 billion USDC, have seen significant growth in recent years and are increasingly used for payments and transfers around the world.

Citi believes the asset class could grow to $1.6 trillion by 2030 in its base case, starting at $230 billion, assuming regulatory support and institutional integration are in place. In a more optimistic scenario, the bank suggests the market could reach $3.7 trillion, although ongoing structural issues could keep the figure closer to $500 billion in the bank’s pessimistic scenario.

A major catalyst is the supportive regulatory stance in the U.S., with a recent executive order mandating the formation of a federal framework for digital assets, the report says. Clarity around stablecoin regulations could allow these tokens to become more deeply integrated into the financial system, offering faster payments, improved transparency, and more efficient asset settlement.

“This could lead to wider adoption of blockchain-based currencies and encourage other uses for them both within and outside the financial sector, in the private and public sectors of the United States,” the authors note.

Stablecoin issuers to become major holders of US Treasury bonds

Stablecoins are expected to remain largely dollar-denominated in the future. The report predicts that approximately 90% of stablecoins in circulation in 2030 will still be pegged to the US dollar, cementing its dominance.

This has major implications for the global financial system. Issuers of dollar-denominated stablecoins could become some of the largest buyers of U.S. Treasuries if regulations encourage tokens to be backed by low-risk, highly liquid traditional financial assets like government bonds. Citibank estimates that issuers could hold $1.2 trillion in U.S. government debt by the end of the decade, potentially surpassing all major foreign sovereign holders.