Citigroup: Stablecoins Could "Take" $6.6 Trillion from Banks
Date: 2025-08-28 Author: Henry Casey Categories: CRYPTO PAYMENTS
Analysts at Citigroup's Future of Finance division predict that in the coming years, clients could transfer about $6.6 trillion from bank deposits to stablecoins. Experts compare the current situation with the crisis of the 1980s, when the rapid growth of money market funds — from $4 billion to $235 billion — led to a mass closure of bank deposits.
Stablecoins are quickly gaining popularity as a convenient means for fast and cheap transactions. According to Keyrock and Bitso, the speed of payments using them exceeds that of banks by about 13 times. Citigroup predicts that stablecoins could account for about 10% of the entire US money supply by 2028, with their annual transaction volume reaching $1 trillion.
The bank's experts warn that the growing popularity of stablecoins could weaken the liquidity of traditional banks. This, in turn, could increase the cost of raising funds, reduce the availability of loans, and lead to higher interest rates for businesses.
Citigroup also previously stated that by 2030, issuers of dollar stablecoins could become some of the largest holders of US Treasury bonds and government debt, which would significantly increase their influence on the country's financial system.
Thus, the rapid growth of stablecoins creates new challenges for the banking industry, forcing it to adapt to rapidly changing market conditions and reconsider traditional models of raising and storing capital.
The rise of digital assets shows that the financial sector is entering a new era, where the speed and availability of payments are becoming key factors for customers, and banks are forced to find new ways to retain deposits and maintain liquidity.
While stablecoins offer innovative solutions for transactions, their impact on the banking system and public financial markets remains the subject of close attention from analysts and regulators.
Updating the financial infrastructure and adapting banks to digital assets can determine how resilient the banking system will be in the face of further growth of cryptocurrencies and stablecoins.
In the coming years, the balance between traditional and digital money will become a key factor in the economic stability of the United States and global financial markets.
Citigroup's overall forecast emphasizes the need to closely monitor stablecoins and their impact on the banking industry in order to promptly adapt capital and credit risk management strategies.
In short, stablecoins are not only changing the way payments are made, but are also creating new dynamics in the global financial system.
