Global financial giants are accelerating the development of stablecoin infrastructure. Citigroup's partnership with cryptocurrency exchange Coinbase to expand stablecoin payment functionality reflects expectations that traditional finance will formally launch digital asset applications following the passage of the GENIUS Act, a cryptocurrency regulatory bill in the United States.
Citigroup stated that, as a key part of strengthening its digital asset capabilities, it is collaborating with Coinbase. The first phase of this initiative will focus on helping clients easily exchange cryptocurrencies for fiat currencies. Deborah Sen, head of Citigroup's payments business, noted, "Clients need faster, more programmable payment methods, and we are exploring solutions that support on-chain stablecoin payments."
This statement comes just one month after Citigroup released its forecast that the stablecoin market will grow from approximately $315 billion (about 4,095 trillion won) currently to $4 trillion (about 5,200 trillion won) by 2030. With the GENIUS Act expected to take effect in 2027, major Wall Street financial institutions, including JPMorgan Chase and Bank of America, are reportedly also advancing their own stablecoin projects.
The traditional payment industry is also seeing undercurrents. Western Union announced it will build a stablecoin payment network based on the Solana blockchain, aiming to improve the speed of cross-border payments and reduce settlement costs by introducing blockchain technology.
Meanwhile, competition in the Bitcoin mining industry is becoming increasingly fierce, with small and medium-sized mining companies rapidly narrowing the gap with industry giants. In the digital lending sector, lending platform Ledn disclosed that its loan disbursements secured by Bitcoin this year have exceeded $1 billion (approximately 1.3 trillion Korean won), indicating that investors are increasingly inclined to use Bitcoin as collateral rather than selling it for cash.
The battle between Wall Street and industry giants over stablecoins foreshadows a future where major global banks and financial institutions may hold sway over digital payment infrastructure. As regulatory frameworks become clearer and technological investment continues to increase, the lines between cryptocurrencies and traditional finance are rapidly blurring.
