Global Stablecoin Market Expands Significantly, Swedish Central Bank Reports

According to Odaily, a recent report by the Swedish central bank reveals that the global stablecoin market has grown from $4 billion at the beginning of 2020 to $272 billion by October 2025, with approximately 99% of these stablecoins pegged to the U.S. dollar. The report highlights that stablecoins are expanding beyond their initial role as tools for crypto trading to broader applications such as decentralized finance and cross-border payments. In terms of regulation, the European Union has implemented the MiCA regulations, which require stablecoin issuers to ensure full asset backing and immediate redemption at face value. Meanwhile, the United States passed the GENIUS Act in July 2025, allowing for more flexible asset support structures. The Swedish central bank cautions that stablecoins may pose challenges such as increased dollarization, financial stability risks, and redemption pressures, but they also have the potential to enhance payment efficiency. The central bank is currently exploring whether to permit issuers to access the central bank settlement system and use central bank reserves to address the growing influence of stablecoins within the financial system.