Standard Chartered analysts stuck to their forecast that the stablecoin market will reach $2 trillion by late 2028, despite lowering expectations for short-term US Treasury bill demand.
Stablecoins like Tether’s USDt (USDT) and Circle’s USDC (USDC) are expected to push T-bill demand to $2.2 trillion by 2028, Standard Chartered analyst Geoffrey Kendrick and US rates strategist John Davies said in a Monday report shared with Cointelegraph.
Despite the US dollar stablecoin market cap stalling at around $300 billion in recent months amid a broader crypto downturn, the analysts remain bullish since the passage of the US GENIUS Act in 2025.
Source: Standard Chartered“We see these issues as cyclical rather than structural, and we continue to expect stablecoin market cap to reach $2 trillion by end-2028,” Standard Chartered’s report said.
Stablecoins may drive Treasury to issue more bills despite lowered demand
According to Standard Chartered, stablecoins are now expected to generate an additional $800 billion to $1 trillion in fresh T-bill demand for use as reserves by late 2028, a hefty reduction from the $1.6 trillion projected in April 2025, despite the passage of the GENIUS Act.
Related: SEC allows broker-dealers to take 2% ‘haircut’ on stablecoins
Standard Chartered analysts still expect that the US Treasury may use this potential excess demand as justification to issue more T-bills. They cited Treasury Secretary Scott Bessent’s statements in early February in which he suggested the GENIUS Act could be “an important feature of financing the US government.”
Source: Subjective ViewsThe Treasury’s quarterly refunding announcement on the same day also cited “growing demand for Treasury bills from the private sector,” the analysts noted, adding:
In addition to forecasting stablecoins to reach $2 trillion by the end of 2028, Standard Chartered previously expected Bitcoin (BTC) to hit $500,000 over the same period.
Amid ongoing uncertainty in crypto markets, the bank’s analysts have recently lowered their BTC price target for 2026 from $150,000 to $100,000, projecting that the cryptocurrency could fall as low as $50,000 before a potential recovery.
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Source: https://cointelegraph.com/news/standard-chartered-2t-stablecoin-forecast-2028-t-bill-demand-trim?utm_source=rss_feed&utm_medium=feed&utm_campaign=rss_partner_inbound
