Standard Chartered Forecasts $2 Trillion Stablecoin Market by 2028

Standard Chartered has projected that the market capitalization of stablecoins could reach $2 trillion by 2028. According to NS3.AI, this expansion is expected to generate between $0.8 trillion and $1 trillion in demand for U.S. short-term Treasury bills. The increasing demand is attributed to regulatory requirements mandating stablecoin issuers to maintain liquid reserves, including government bonds. As a result, the U.S. Treasury may consider adjusting its issuance strategy to prioritize short-term debt, potentially suspending 30-year bond auctions for several years.