A recent report from Standard Chartered highlights a potential seismic shift in the banking landscape of emerging markets, predicting that up to $1 trillion could flow out of bank deposits into US stablecoins by 2028. The source notes that this trend underscores the growing acceptance of stablecoins as a viable alternative to traditional banking.
Anticipated Migration to Stablecoins
The report attributes this anticipated migration to the increasing adoption of stablecoins, which offer advantages such as faster transactions and lower fees compared to conventional banking services. As more individuals and businesses in emerging markets recognize the benefits of digital currencies, the demand for stablecoins is expected to surge.
Changing Financial Landscape
Furthermore, the changing financial landscape is characterized by technological advancements and regulatory developments, which are likely to accelerate this trend. Banks in emerging markets may face significant challenges as they adapt to a new reality where digital assets play a central role in financial transactions. This may potentially lead to a re-evaluation of their business models.
