Stablecoins have achieved a significant milestone by surpassing Visa's transaction volume in just five years. This event underscores the transformative changes in the global financial system.
Statistics and Growth of Stablecoins
The total transaction volume of stablecoins is projected to reach $27.6 trillion by 2024, illustrating their rapid spread across financial sectors. It is forecasted that stablecoin issuance will exceed $235 billion by 2025, reflecting users' growing reliance on these currencies for everyday transactions.
Expert Opinions on the Future of Stablecoins
Industry experts highlight the key role of stablecoins in the economy. According to Xiao Feng, Vice Chairman of Wanxiang Holdings, stablecoins represent 'tokenized currency' that utilizes distributed ledgers, marking an important step in currency evolution. They enable peer-to-peer transactions without intermediaries.
Risks and Warnings for the Market
Despite the advantages of stablecoins, experts warn of systemic risks. Without adequate regulatory frameworks, large-scale redemptions could destabilize major stablecoin issuers. The Bank for International Settlements has also expressed concerns that stablecoins do not meet the standards of modern money.
The expanding use of stablecoins indicates significant changes in the financial system. While their growth brings numerous benefits, it is also essential to be aware of potential risks and the need for appropriate regulation.
