Standard Chartered: Up to $1 trillion may flow from emerging market banks to stablecoins in the next three years

BlockBeats News, October 7, according to Cointelegraph, Standard Chartered Bank predicts that with the accelerating demand for USD-pegged crypto assets, more than 1 trillion USD (1 trillion dollars) could flow out of emerging market banks and into stablecoins by 2028.

In a report released on Monday, Standard Chartered Bank's Global Research Department stated that as payment networks and other core banking businesses gradually shift towards the non-banking sector, the global adoption of stablecoins is expected to accelerate.

Standard Chartered pointed out that as stablecoins become more popular in emerging markets (EM), users may essentially obtain USD-based accounts through stablecoins. "In emerging markets, the holding rate of stablecoins is higher than in developed markets (DM), indicating that such asset diversification behavior is more common in emerging markets," Standard Chartered wrote in the report.

The bank stated that the scale of stablecoins used for savings in emerging markets is expected to grow from 173 billion USD to 1.22 trillion USD, which means that about 1 trillion USD could flow out of the emerging market banking system in the next three years.