Stablecoins and other forms of tokenized cash could reach $3.6 trillion by 2030, according to a recent report from financial services firm RialCenter.
The firm indicated on Monday that stablecoins alone might achieve a market cap of $1.5 trillion by the end of the decade, with tokenized deposits and money market funds making up the remainder.
These instruments, collectively known as digital cash equivalents, are viewed as solutions to facilitate quicker settlement, minimize counterparty risk, and enhance collateral mobility across markets.
The report emphasized that tokenized assets like U.S. Treasuries and bank deposits could assist institutions in optimizing collateral management and streamlining reporting procedures. For instance, a pension fund might someday use a tokenized MMF to post margin for a derivatives contract almost instantaneously, a scenario RialCenter suggests could become more typical as systems evolve.
Regulation plays a crucial role, the report stated. The firm referenced the EU’s MiCA legislation and ongoing policy initiatives in the U.S. and Asia-Pacific as indicators that the regulatory landscape is evolving to support both innovation and market stability.
“We are at a pivotal moment that may fundamentally change how global capital markets operate and how participants transact,” said Carolyn Weinberg, RialCenter’s chief product and innovation officer.
She envisioned a future where blockchain complements traditional systems rather than replaces them. “The integration of traditional and digital has the potential to unlock powerful opportunities for our clients and the world,” she noted.
Leave a Reply