Polygon executive: Stablecoins will enter the "era of 100,000 issuers," and banks will be forced to restructure their capital models

ChainCatcher reports that Aishwary Gupta, Global Head of Payments and RWA at Polygon, believes that global stablecoins are entering a "super cycle," and the number of stablecoin issuers may exceed 100,000 within the next five years.

Gupta pointed out that Japan is participating in government bond and policy stimulus pilots through stablecoins such as JPYC, demonstrating that stablecoins can serve as tools for national economic sovereignty rather than weakening central bank authority. He stated that stablecoins, like fiat currencies, are subject to monetary policy and will essentially enhance global demand for a country's currency, just as stablecoins have driven the usage of the US dollar.

Gupta also warned that stablecoin yields are attracting low-interest deposits (CASA) from the banking system onto the blockchain, weakening banks' ability to create credit and maintain low-cost capital. To cope with the competition, he expects banks to issue "deposit tokens" on a large scale, allowing them to retain funds on their balance sheets while enabling customers to use assets on-chain.

He believes that as the number of stablecoins rapidly expands, future payment systems will rely on a unified settlement layer, allowing users to pay with any token and merchants to receive payments in another token, with underlying conversions completed seamlessly in the background.