“Blockchains won’t replace the traditional rails but will be integrated and work in tandem, the bank said in the report.”, — write: www.coindesk.com
The financial services giant said Monday that stablecoins alone could reach $1.5 trillion in market cap by the end of the decade, with tokenized deposits and money market funds contributing the rest.
These instruments, collectively referred to as digital cash equivalents, were seen as tools to unlock faster settlement, reduce counterparty risk and improve collateral mobility across markets.
Stablecoins, tokenized deposits and digital MMFs projected to reach $3.6 trillion market size (BNY)
The report highlighted that tokenized assets such as US Treasuries and bank deposits could help institutions optimize collateral management and streamline reporting processes. For example, a pension fund might one day use a tokenized MMF to post margin for a derivatives contract almost instantaneously, a scenario BNY says could become more common as systems evolve.
Regulation remains a key enabler, the report noted. The bank pointed to the EU’s MiCA legislation and ongoing policy work in the US and Asia-Pacific as signs that the regulatory environment was maturing in ways that could support both innovation and market stability.
“We stand at a powerful inflection point that may fundamentally transform how global capital markets function and how its participants transact,” said Carolyn Weinberg, BNY’s chief product and innovation officer.
She envisioned a future where blockchain doesn’t replace the traditional rails but work in tandem. “The combination of traditional and digital has the potential to be a powerful unlock for our clients and the world,” she added.
A deep dive into Zcash’s zero-knowledge architecture, shielded transaction growth, and its path to becoming encrypted Bitcoin at scale.
- Shielded adoption surgedwith 20–25% of circulating ZEC now held in encrypted addresses and 30% of transactions involving the shielded pool.
- The Zashi wallet made shielded transfers the default, pushing privacy from optional to standard practice.
- Project Tachyonled by Sean Bowe, aims to boost throughput to thousands of private transactions per second.
- Zcash surpassed Monero in market share, becoming the largest privacy-focused cryptocurrency by capitalization.
View Full Report
The deal will add stablecoin-based payment tools for merchants and gig workers as crypto payments are rapidly growing.
- Crypto wallet firm Exodus Movement is acquiring Grateful to expand its digital payments and cryptocurrency presence in Latin America.
- Grateful’s software enables merchants to accept stablecoins with tools like wallet-to-wallet payments and QR point-of-sale checkout.
- The acquisition aligns with a trend of increasing stablecoin use for global transactions, projected to reach $1 trillion annually by 2030.
Read full story