Stablecoins Transitioning from Trading to Everyday Digital Cash

Circle CEO Jeremy Allaire says stablecoins are moving from crypto trading into payments and capital markets as everyday digital cash. He believes that in a few years, people may move digital dollars without noticing them at all.

The company recently won a US bank charter for its First National Digital Currency Bank. Allaire applied to the OCC in June 2025 and got final approval on July 10. The goal is to make stablecoins 'digital cash in the economic system,' which can be used by every major institution, bank, capital markets firm, and enterprise.

Tether's USDT currently leads with a market cap of $184 billion, while Circle's USDC has $73 billion. Analysts forecast that the stablecoin demand will reach $1 trillion to several trillion in the coming years. However, this plan leans on the GENIUS Act, which requires issuers to hold full reserves and publish them monthly starting from January 18, 2027.