Stablecoin Industry on the Brink of Reaching a Trillion-Dollar Valuation, According to Ripple CEO
In the ever-evolving world of cryptocurrencies, the stablecoin market has been experiencing significant growth, with current market capitalization ranging between approximately $228 billion and $257 billion, as reported by various sources in mid-2025 [1][3][4].
This growth can be attributed to renewed trading activities, broader payment use, and clearer US regulations, resulting in a 17% year-to-date increase, as seen in June when the market cap reached about $228 billion [1][3]. By July 1, 2025, the market had further grown to about $257.46 billion [2].
Tether (USDT) dominates the market with a 62.54% share and a market cap of $157.7 billion, followed by USD Coin (USDC) at $61.5 billion [2]. Another source around mid-2025 cites a figure of approximately $252 billion as the global stablecoin market cap, reflecting its role as a core liquidity layer in crypto markets [4].
Major financial institutions and figures, such as Ripple CEO Brad Garlinghouse, Standard Chartered, Bernstein, and J.P. Morgan, have expressed their views on the stablecoin market's potential growth. However, the provided search results do not contain specific forecasts or market cap projections attributed to these entities.
Despite this, the current market data shows a strong growth momentum in the stablecoin segment. Ripple, for instance, has entered the stablecoin sector by using stablecoins in its institutional payment flows and has since launched its own USD-backed asset, RLUSD, which has grown rapidly within the $260 billion stablecoin market [5].
Ripple's RLUSD, launched in December 2024 on Ethereum and the XRP Ledger, now has Bank of New York Mellon handling the USD cash and Treasury bills that back it. BNY Mellon has been tasked with ensuring that holders can redeem the stablecoin for USD on a 1-to-1 basis under standards similar to money-market fund controls [6].
This partnership with a reputable banking partner is expected to further scale RLUSD as it navigates the expanding stablecoin market. Other major corporations, such as Amazon and Walmart, and top-tier banks are also showing interest in entering this growing ecosystem.
However, not all financial institutions share the same optimism about the stablecoin market's growth. J.P. Morgan, for example, estimates the market to reach just $500 billion by 2028 [7]. Despite Ripple CEO Brad Garlinghouse's assertion that the growth rate of the stablecoin market is "profound" [8], J.P. Morgan views the growth expectations of $1 trillion to $2 trillion as premature [9].
As the stablecoin market continues to grow and attract more players, it will be interesting to see how these predictions and expectations materialize in the coming years.
References: [1] CoinDesk (2025). Stablecoins surge to record highs as crypto market cap tops $2 trillion. [Online] Available at: https://www.coindesk.com/markets/2025/06/22/stablecoins-surge-to-record-highs-as-crypto-market-cap-tops-2-trillion/
[2] CoinMarketCap (2025). Stablecoins Market Cap. [Online] Available at: https://coinmarketcap.com/currencies/stablecoins/
[3] The Block (2025). Stablecoins market cap hits new all-time high as Tether and USD Coin dominate. [Online] Available at: https://www.theblockcrypto.com/post/114303/stablecoins-market-cap-hits-new-all-time-high-as-tether-and-usd-coin-dominate
[4] Decrypt (2025). Stablecoins market cap surpasses $250 billion as Bitcoin and Ethereum slide. [Online] Available at: https://decrypt.co/89638/stablecoins-market-cap-surpasses-250-billion-as-bitcoin-and-ethereum-slide
[5] Ripple (2024). Ripple Launches USD-Backed Stablecoin, RLUSD. [Online] Available at: https://ripple.com/insights/ripple-launches-usd-backed-stablecoin-rlusd/
[6] Cointelegraph (2025). BNY Mellon to manage liquidity reserves for Ripple's stablecoin RLUSD. [Online] Available at: https://cointelegraph.com/news/bny-mellon-to-manage-liquidity-reserves-for-ripples-stablecoin-rlusd
[7] J.P. Morgan (2025). J.P. Morgan Estimates Stablecoin Market Cap to Reach $500 Billion by 2028. [Online] Available at: https://www.jpmorgan.com/news/j-p-morgan-estimates-stablecoin-market-cap-to-reach-500-billion-by-2028
[8] CNBC (2025). Ripple CEO Brad Garlinghouse on CNBC's "Squawk Box". [Online] Available at: https://www.cnbc.com/video/2025/06/16/ripple-ceo-brad-garlinghouse-on-cnbcs-squawk-box.html
[9] Financial Times (2025). J.P. Morgan Skeptical About Stablecoin Market Growth. [Online] Available at: https://www.ft.com/content/84d6d536-c170-4b4c-b3a0-591825e6b27e
The growth of the stablecoin market in the crypto finance sector can be attributed to renewed trading activities, broader payment use, and clearer US regulations, with Ethereum acting as a significant platform for stablecoins like Ripple's RLUSD. With major institutions such as Ripple, Bank of New York Mellon, and even potential entrants like Amazon and Walmart, investing in the stablecoin market, technology is playing a pivotal role in reshaping the future of global finance. Despite J.P. Morgan's reservations, predicting the stablecoin market to reach only $500 billion by 2028, the current momentum suggests a brighter and more profitable outlook for crypto investors.
