BlockBeats News, October 6th, Standard Chartered Bank estimated that in the next three years, as much as $1 trillion in funds may move from emerging market bank deposits to stablecoins, as dollar-pegged tokens provide households and businesses with a way to bypass local banks and access the dollar with low friction.
Geoffrey Kendrick, Global Head of Standard Chartered Bank’s Digital Assets Research, and Madhur Jha, Global Economist and Head of Thematic Research, pointed out that for these emerging market users, stablecoins have effectively become a “dollar-denominated bank account.”
Historically, emerging markets have been a hotbed for stablecoin applications, mainly due to a significant unbanked population. The bank noted that even with the U.S. GENIUS Act’s zero-yield requirement for compliant issuers, this trend could still accelerate because “principal preservation is more critical than asset yield.”
Standard Chartered Bank predicts that the total market value of stablecoins worldwide will reach $2 trillion by the end of 2028 (the bank noted that this forecast has been cited by the U.S. Department of the Treasury), with an estimated current two-thirds of stablecoin supply actually serving as savings for emerging market bank deposits.
