Introduction
Stablecoins have become the backbone of crypto markets. By 2025, they process trillions in daily transactions and are under heavy regulatory scrutiny.
Why Stablecoins Matter
- Enable fast cross-border payments.
- Provide a safe haven during market volatility.
- Used in DeFi lending, trading, and remittances.
Regulation in 2025
- The U.S., EU, and Asia have proposed frameworks.
- Stablecoin issuers must hold 1:1 reserves.
- Tighter auditing and compliance required.
CBDCs vs Stablecoins
- CBDCs are state-issued digital currencies.
- Stablecoins are private-sector alternatives.
- Both may coexist, but CBDCs could reduce demand for some stablecoins.
Use Cases Expanding
- Payroll in stablecoins.
- Remittances in emerging markets.
- On-chain savings accounts.