Citigroup revised the Stablecoin market predicted to $ 1.9 trillion by 2030, but warned that institutional acceptance remains only 0.5 on a scale of 0 to 10, according to a report Published on 25 September.
The bank giant increased his basic protection of $ 1.6 trillion in his prediction of April 2025, stating an accelerated momentum of the clarity of the regulations and an increased integration of the payment network. The Bull Case Scenario now reaches $ 4 trillion, an increase of $ 3.7 trillion.
David Cunningham, head of strategy and partnerships for digital assets at Citi Services, stated:
“Stablecoin output volume has risen by 40% this year as executive orders, the Genius Act and large platforms remove friction.”
The revised projections are based on three primary drivers. Firstly, partial replacement of deposits in the US and overseas accounts for 45% of the basic case, with CITI shifting 2.5% of the 2030 American bank deposits to Stablecoins.
Secondly, the continuous crypto market extension stimulates 40% of the growth due to 20% annual issue. Thirdly, 15% of banknote replacement comes, in particular 10% of foreign American currency companies and 2.5% of domestic banknotes.
The current Stablecoin supply reached $ 292 billion from 25 September, an increase of $ 224 billion at the start of the year. Transaction volumes are now approaching $ 1 trillion monthly on an adapted basis, almost double years ago.
But business enthusiasm is lagging behind. Catherine Gu, head of institutional client solutions at Visa, characterized the adoption of institutional stablecoin on “perhaps 0.5 on a scale of 0 to 10” and noted that serious interest rates between banks and asset managers is limited.
The report also showed that most regular companies remain “curious instead of enthusiastic” about Stablecoins. Large companies already protect favorable bank conditions and faster payments that reduce the appeal of the Stablecoin for high -quality transactions.
Citi believes that Banktokens, including tokenized deposits and depositors, can catch larger transaction volumes than stabilecoins by 2030, possibly more than $ 100 trillion per year.
This tokenized instruments issued by the bank offer well-known regulatory frameworks and simpler integration with existing treasury systems.
The challenges for the Stablecoin eco system that is identified in the report include fragmentation on multiple block chains, privacy problems on public networks and uncertainty with regard to accounting treatment.
Without cash equivalent recognition under IAS7, Stablecoins remain less attractive for business treasurers.
The report concluded that, despite the progress of the regulations, including the adjustment of the Genius Act and the establishment of international frameworks in Hong Kong and the VAE, institutional adoption still needs to tackle interoperability, scalability and trust problems that are currently limiting the implementation of the business scale.
