Normal Chartered analysts caught to their forecast that the stablecoin market will attain $2 trillion by late 2028, regardless of reducing expectations for short-term US Treasury invoice demand.
Stablecoins like Tether’s USDt (USDT) and Circle’s USDC (USDC) are anticipated to push T-bill demand to $2.2 trillion by 2028, Normal Chartered analyst Geoffrey Kendrick and US charges strategist John Davies mentioned in a Monday report shared with Cointelegraph.
Regardless of the US greenback stablecoin market cap stalling at round $300 billion in latest months amid a broader crypto downturn, the analysts stay bullish following the passage of the US GENIUS Act in 2025.
“We see these points as cyclical quite than structural, and we proceed to anticipate stablecoin market cap to succeed in $2 trillion by end-2028,” Normal Chartered’s report mentioned.
Stablecoins could drive Treasury to difficulty extra payments regardless of lowered demand
In response to Normal Chartered, stablecoins at the moment are anticipated to generate an extra $0.8-$1 trillion in contemporary T-bill demand to be used as reserves by late 2028, a hefty discount from the $1.6 trillion projected in April 2025, regardless of the passage of the GENIUS Act.
Associated: SEC allows broker-dealers to take 2% ‘haircut’ on stablecoins
Normal Chartered analysts nonetheless anticipate that the US Treasury could use this potential extra demand as justification to difficulty extra T-bills. They cited Treasury Secretary Scott Bessent’s statements in early February through which he recommended the GENIUS Act could possibly be “an necessary characteristic of financing the US authorities.”
The Treasury’s quarterly refunding announcement on the identical day additionally cited “rising demand for Treasury payments from the non-public sector,” the analysts famous, including:
“Stablecoin-related demand, at the side of the Fed’s latest determination to begin RMPs [reserve management purchases] and exchange its maturing MBS [mortgage-backed securities] with T-bills, might arguably trigger T-bills to develop into overly scarce.”
Along with forecasting stablecoins to succeed in $2 trillion by the tip of 2028, Normal Chartered beforehand anticipated Bitcoin (BTC) to hit $500,000 over the identical interval.
Amid ongoing uncertainty in crypto markets, the financial institution’s analysts have not too long ago lowered their BTC price target for 2026 from $150,000 to $100,000, projecting the cryptocurrency might fall as little as $50,000 earlier than a possible restoration.
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