From a 1 euro coin to trillions: stablecoins designed to dominate the global financial system in the next decade

The stablecoin market is on an unprecedented transformation trajectory. With a market capitalization that recently surpassed $70 billion, these digital currencies—whose value is pegged to fiat currencies like the US dollar and euro—are heading toward a scenario where they could be worth trillions in ten years. Jeremy Allaire, CEO of Circle, predicts that stablecoins will capture a 5% to 10% share of the approximately $100 trillion global money supply in the next decade.

The concept of a stablecoin is deceptively simple: it combines the stability of conventional currencies with the speed and efficiency of blockchain. This makes them particularly attractive for everyday economic activities in regions where access to hard currencies is limited. As Allaire noted, “we are in the early stages of adoption, but over the next 10, 20 years, this technology will become an integral part of the global financial system.”

Accelerated Growth and Market Leadership

The current landscape already demonstrates impressive dynamics. USDC, controlled by Circle, has expanded to a $70.19 billion market cap since its launch six years ago in partnership with Coinbase. Its main rival, Tether’s USDT, maintains a dominant position with approximately $120 billion, but USDC shows consistent growth in strategic segments.

The disparity between the two protagonists reflects different geographic strategies. While Tether has aggressively focused on emerging markets—where demand for alternatives to depreciating local currencies is urgent—Circle has prioritized developed and highly regulated markets such as the US and the European Union. However, Allaire highlighted that this is changing rapidly, with substantial growth of USDC in regions like Latin America and Southeast Asia.

Stablecoins in Action: From Theory to Practice

Use cases are multiplying. Specialized international payment firms now leverage USDC to settle transactions between small and medium-sized enterprises, eliminating intermediaries and reducing costs. A memorable example cited by Allaire involved a energy order worth several hundred million dollars between a supplier in the Middle East and a buyer in Africa—an operation fully facilitated by USDC.

Another significant milestone was Stripe’s reintegration of USDC transactions for its merchants last October. In the first 24 hours, users from 70 countries opted for USDC payment options. As Jennifer Lee, Stripe’s product manager, mentioned, the momentum continues: “There’s a new company every week using USDC and needing to make deals with us to build and use Circle’s products.”

Open Architecture and the Future of Financial Infrastructure

What sets Circle’s positioning apart is its approach to open infrastructure. “The beauty of what we’ve built is an open and public infrastructure for digital dollars on the internet,” summarized Allaire. This model allows multiple agents—fintechs, payment providers, remittance platforms—to build solutions on USDC without relying on traditional intermediaries.

This democratization of financial infrastructure is especially transformative in developing countries, where fragile banking systems and volatile local currencies create constant demand for alternatives. Argentina and Nigeria exemplify this dynamic, where stablecoins are gaining organic adoption among citizens and businesses.

Regulation as an Accelerator: The Decisive Moment of 2025-2026

Global regulation is now a fait accompli, not an uncertainty. Allaire correctly predicted that most major financial centers would have stablecoin legislation approved or in advanced stages. This prediction has materialized: by the end of 2025, a large number of G20 countries and many emerging markets established robust regulatory frameworks.

In the US, the Payment Stablecoin Act has advanced significantly, with bipartisan support consolidated. Although political uncertainties have influenced corporate timelines—such as Circle’s IPO plans—the regulatory trajectory remains steady. Allaire remains committed to transforming Circle into a publicly traded company, viewing regulation as a boost to transparency and accountability.

The realization that stablecoin legislation is a global priority, not just an American one, marks an important turning point. The ecosystem now operates in a more predictable and institutionalized environment.

Path to Trillions: Consolidation and Scale

The transition from a $170 billion market to $5-10 trillion in ten years is not speculation: it’s a realistic extrapolation based on precedents of digital disruption. Video streaming and online shopping, mentioned by Allaire as historical parallels, followed exponential growth trajectories after reaching critical mass.

Stablecoins are at an early stage comparable to streaming in its initial years—superior technology, proven use cases, but still limited adoption among the general population. The next decade will see progressive integration into payment systems, international remittances, commercial settlements, and corporate reserves.

The potential for digital currencies like USDC and EURC to capture significant shares of the global money supply is not a vague promise but a direct corollary of their economic utility. As more institutions, companies, and individuals recognize stablecoins as fundamental financial infrastructure, capturing 5-10% of the global supply shifts from an optimistic expectation to a baseline scenario.

Allaire summarizes the vision: we are at the dawn of a financial revolution where stablecoins are transitioning from crypto curiosity to a pillar of the global financial system. The next decade will be defining.