Stablecoins Forecasted to Exceed $1 Trillion by 2026 Driving Global Finance Changes
Stablecoins could reach $1 trillion by 2026 and reshape global finance.
Solana adoption grows as projects use it to issue and transfer digital dollars.
Regulation and central bank digital currencies will influence stablecoin market growth.
Anatoly Yakovenko, co-founder of Solana, estimated that the worldwide market of stablecoins would be more than $1 trillion by 2026. The forecast points at the rising prominence of digital currencies pegged to real money. Stablecoins are starting to enter into the general financial framework, which indicates the transformation of international finance.
Solana co-founder Anatoly Yakovenko predicts stablecoin supply could top $1 trillion by 2026, highlighting DeFi growth, cross-border use, and liquidity dynamics.https://t.co/uDTSenNU2h— Rich by Coin (@richbycoin_news)
December 28, 2025
Now the stablecoin market is over $300 billion, with Tether and Circle topping the lists with their USDT and USDC, respectively. In contrast to Bitcoin or Ethereum, stablecoins are stable and, therefore, can be used in payments, savings, and transfers. Stablecoins based on Solana have experienced significant growth in prior years, with highs and new projects being attracted.
Solana’s Growing Role in Stablecoin Adoption
A number of projects utilize Solana to issue and transfer digital dollars. This adoption has made the network more popular and reinforced its market position. According to Yakovenko, Solana will be able to leverage a larger trend in the growth of stablecoins. Nevertheless, he explained that Solana is not intending to conquer the whole cryptocurrency market. The network is rather placed within a bigger change towards faster and cheaper financial systems.
Analysts say that stablecoins have gained a significant role in the crypto ecosystem. Such predictions have made investors begin to give renewed interest to stablecoins. The trend shows that cryptocurrency has the potential to influence the manner in which money is passed and stored across the world.
Market Challenges and Regulatory Considerations
Despite the optimism, regulation remains a significant challenge. Governments are examining methods to effectively oversee stablecoin issuance and operations. Reports also highlight potential competition from central bank digital currencies, which may impact growth.
JPMorgan Chase forecasts stablecoin supply could reach $500–$600 billion by 2028, driven mostly by crypto-market activity. Even with hurdles, analysts emphasize that stablecoins play an increasingly central role in financial innovation.
Galaxy Digital’s research shows stablecoins could surpass the ACH network in transaction volume by 2026. The current velocity of stablecoins remains high compared to traditional payment systems, maintaining strong growth rates. Transaction volume and supply continue to rise at approximately 30–40% CAGR, reflecting rapid adoption.
Integration into Traditional Finance
Stablecoins are entering mainstream financial applications.Visa uses USDC on Solana to offer faster, 24/7 payments for U.S. banks. Fold recently introduced a Bitcoin-only rewards credit card in collaboration with Visa and Stripe. Proprietary stablecoins will be launched by other firms, such as Western Union and Sony Bank.
Additionally, Western Union announced plans to introduce a U.S. dollar-backed stablecoin named USDPT on the Solana blockchain. The GENIUS Act which is likely to be introduced in early 2026 will offer more transparent guidelines on the issuance of stablecoins subject to FDIC regulation. Experts indicate that regulation is likely to boost growth when the legal frameworks are made clear.
Tags:
Anatoly Yakovenko
Blockchain
crypto adoption
Crypto market
cryptocurrency
Solana
Stablecoins
Investment Firm Borrows $1B in Stablecoins on Aave to Buy Ethereum
Investment firm Trend Research has an open long spot position on Ethereum ETH $2 914 24h volatility: 0.8% Market cap: $356.52 B Vol. 24h: $23.41 B at a nominal value of approximately $1 billion by depositing ETH collateral, borrowing stablecoins, buying Ether, and redepositing it on Aave AAVE $150.4 24h volatility: 2.7% Market cap: $2.31 B Vol. 24h: $218.66 M for a leveraged, high-conviction play.
This long position was spotted and reported by Lookonchain on December 29, with activity dating back to October 2025.
-->
According to its recent post on X, Trend Research has borrowed $958 million in stablecoins from Aave for that goal.
Trend Research(@Trend_Research_) keeps borrowing $USDT to buy $ETH.
Trend Research currently holds 601,074 $ETH($1.83B) and has borrowed a total of $958M in stablecoins from #Aave.
Based on the on-chain $ETH withdrawal prices from #Binance, the average purchase price is… pic.twitter.com/MLNVeN8r2l
— Lookonchain (@lookonchain) December 29, 2025
The firm is leveraging Ethereum’s DeFi protocols by depositing ETH as collateral and borrowing stablecoins on Aave.
It then uses the borrowed stablecoins to buy Ether on Binance, withdraws the purchased ETH back to its on-chain address, and redeposits a portion on Aave to increase collateral and borrowing capacity for further leveraged positions.
Trend Research has an estimated dollar cost average of $3,265 for its ETH purchases, per Lookonchain.
How Is Trend Research Long-Positioning on ETH?
At the time of writing, the firm holds over 600,000 in Aave-deposited ETH, a position worth $1.8 billion at current prices, at $2,993 per Ether.
According to Arkham, this is held in the form of AETHWETH, an interest-bearing token issued by Aave when users make lending deposits and that later can be redeemed back by withdrawing the collateral.
Its recent activities on Dec. 29 started with an 11,520 ETH withdrawal from Binance, five days after depositing 20 million USDT to the exchange.
This amount was fully deposited on Aave’s lending contract and used as collateral for another 20 million USDT purchase that was deposited to Binance.
The pattern repeated with a 9,330 ETH withdrawal from Binance, again deposited on Aave, followed by, again, a 20 million USDT borrow and deposit on Binance.
Trend Research’s balance and onchain activity, as of December 29, 2025. | Source: Arkham Intelligence
ETH has been struggling to break back above the $3,000 resistance, a key level many analysts are eyeing to signal a bullish reversal for the second-largest cryptocurrency by market capitalization. Analysts believe sustained momentum could propel Ethereum up to $8,500.
In the meantime, Aave, Ethereum’s leading lending and borrowing DeFi protocol, is going through a historical moment governance-wise.
Aave Labs is pushing “token alignment” proposals in ongoing community discussions, seeing its first related proposal failing with record token-weighted participation.
next
Vini Barbosa has covered the crypto industry professionally since 2020, summing up to over 10,000 hours of research, writing, and editing related content for media outlets and key industry players. Vini is an active commentator and a heavy user of the technology, truly believing in its revolutionary potential. Topics of interest include blockchain, open-source software, decentralized finance, and real-world utility.
Vini Barbosa on X
Share:
Bitget has partnered with Morpho and Arbitrum to launch an upgraded on-chain yield product, offering up to 12% APR on USDT/USDC.
Bitget, in collaboration with MORPHO and the Arbitrum ecosystem, has launched an upgraded on-chain yield product aimed at building a more transparent, flexible, and efficient yield strategy for users. This product is based on the Arbitrum network and breaks the traditional lock-up restrictions, providing users with on-chain yield solutions for USDT and USDC that can be subscribed to and redeemed instantly.In terms of product structure, an independent dedicated on-chain address will be automatically generated when users subscribe, to enhance asset isolation and security. After funds are subscribed, they will be deployed to the Morpho protocol in real-time and interest will be accrued immediately according to on-chain rules. Redemption is also executed through on-chain processes, enabling instant fund arrival. Related gas fees are handled uniformly by Bitget to lower the operational threshold and improve the overall user experience.Regarding yields, the USDC product can achieve up to 12% APR, and the USDT product can achieve up to 11% APR. Currently, the initial subscription channel has officially opened and will close at 19:00 on February 27, 2026 (UTC+8).