Citi Projects Stablecoin Market to Reach Up to $4 Trillion by 2030

The global stablecoin market is expanding at a faster pace than anticipated, with issuance volumes climbing from around $200 billion at the start of 2025 to $280 billion as of this week, according to a new report from Citi. This rapid growth has prompted the bank to revise its long-term forecast, projecting stablecoin issuance to hit $1.9 trillion in its base case and up to $4 trillion in a bullish scenario by 2030. The estimates mark an increase from its earlier outlook of $1.6 trillion and $3.7 trillion respectively.

Citi noted that if stablecoins achieve circulation velocity on par with traditional fiat currencies, they could support as much as $100 trillion in annual transactions under the base scenario by 2030, and potentially double that under the bull case. The bank described this expansion as blockchain’s “ChatGPT moment,” with digitally native enterprises driving adoption in everyday commerce and financial applications.

Despite the optimism, Citi highlighted that stablecoins may not dominate all areas of on-chain finance. Bank-issued tokens, such as tokenized deposits, are projected to capture significant transaction volume due to corporate demand for strong regulatory frameworks, real-time settlement, and embedded compliance tools. Even limited migration of banking infrastructure onto blockchain rails could push bank token turnover above $100 trillion by the decade’s end.

The report further emphasized the dominant role of the U.S. dollar in on-chain markets, with the majority of stablecoins denominated in dollars. This trend continues to fuel demand for U.S. Treasuries while also positioning financial hubs like Hong Kong and the UAE as centers for experimentation in digital asset development.

Citi ultimately positioned the rise of stablecoins as part of a broader transformation of financial infrastructure, suggesting that stablecoins, bank tokens, and central bank digital currencies (CBDCs) will coexist, each filling distinct roles in the evolving digital economy.