Ripple’s CEO Brad Garlinghouse shared his views on the future of the stablecoin market, anticipating significant growth in its capitalization. His remarks underline the importance of regulation and new opportunities for industry development.
Predictions for Stablecoin Market Growth
Garlinghouse noted that the stablecoin market, currently valued at around $250 billion, could grow to $1-2 trillion in the coming years. He added that the growth in this sector has been "profound," and mentioned that Ripple started its involvement in this area by utilizing stablecoins for its institutional clients' payments.
Experts Align with Garlinghouse's Views
Henrik Andersson, Chief Investment Officer of Apollo Capital, echoed Garlinghouse's prediction. According to him, the expected market cap of $1-2 trillion for stablecoins aligns with their forecast. Andersson also highlighted that many fintech companies, banks, and large retailers are launching their own stablecoins. He pointed to the GENIUS Act in the U.S. as the next catalyst for stablecoin adoption.
Regulation and Ripple's Goals
Ripple, primarily serving institutional clients, aims to become fully compliant in the U.S. to operate under the same regulations as banks and financial institutions. Earlier this month, the company submitted an application for a banking license with the U.S. Office of the Comptroller of the Currency and a Federal Reserve Master Account. Garlinghouse emphasized the importance of building bridges between traditional finance and decentralized finance.
The statements made by Brad Garlinghouse and the views of experts underscore significant prospects for the growth of the stablecoin market. Successful regulation and the launch of new products, such as Ripple's stablecoin, could facilitate this growth in the forthcoming years.
