Stablecoins Set to Power a Tenth of Global Post-Trade Market Within Five Years, Citi Finds

04-Sep-2025
  • According to a new report from Citi, the investment bank expects 10% of the global post-trade market to be processed using stablecoins and tokenised securities within the next five years.
  • The report highlights that the digital asset sector is “tantalizingly close to a structural transition” and that adoption is being driven by the participation of firms like Circle and BlackRock, along with new regulatory frameworks like the GENIUS Act.
  • A survey of 537 institutions revealed that over half now see distributed ledger technology (DLT) as a way to reduce funding costs and operational overheads, with 86% of firms also piloting the use of AI for client onboarding and post-trade processes.

Investment Bank Citi expects 10% of global post-trade market turnover to be processed through stablecoins and tokenised securities within just five years. 

The newly released Securities Services Evolution report surveyed 537 institutions across North America, Europe, Asia-Pacific, and the Middle East between June and July 2025, including custodians, banks, broker-dealers, asset managers, and institutional investors.

The report essentially highlights how the digital asset sector evolved from early experimentation in the early days of 2021 to a more broader, and mature strategic implementation, though it has yet to reach a full tipping point, the bank says. It described the current state as “tantalizingly close to a structural transition”. 

Among the factors accelerating momentum are increased participation by firms such as Circle and BlackRock, which have expanded their roles in digital liquidity infrastructure.

Source: Citi.

North America, Europe, and Asia-Pacific were identified as the leading regions for adoption, supported by strong retail participation and regulatory alignment on digital assets. Chris Cox, Head of Investor Services at Citi, also talked about the importance of Australia choosing the new ISO20022 system, which is expected to modernise its financial messaging format: 

With markets such as Singapore and Australia now offering higher levels of automation based on ISO 20022 standards (and with Hong Kong and Korea both planning to upgrade their platforms), it is no surprise that growing volumes of firms are prioritizing asset servicing transformation in 2025

Chris Cox, Head of Investor Services at Citi

Legal Landscape Evolves

Talking about regulation, the report shares a few lines about recent changes regarding regulation in the US, more so after lawmakers recently approved a legal framework for stablecoins under the GENIUS Act, signed into law by President Donald Trump in July 2025. 

The bill’s passage prompted several crypto giants to reconsider an entrance into the US market, including Tether which is now developing a US-specific institutional stablecoin.

Related: Analyst Warns U.S. XRP ETFs Could Mark “Beginning of the End”

Similarly, respondents cited liquidity and post-trade cost efficiency as the top drivers for adopting distributed ledger technology. Citi stated that more than half of participants now view DLT as a means to increase the velocity of securities and reduce funding costs, capital requirements, and operational overheads before 2028.

Also, Artificial intelligence is emerging as a central lever; Citi’s survey shows 86% of firms are testing AI for client onboarding, while 57% are piloting its use in post-trade processes. 

Related: Trump-Backed WLFI Token Debuts With US$30B Valuation as Binance Leads Listings

The post Stablecoins Set to Power a Tenth of Global Post-Trade Market Within Five Years, Citi Finds appeared first on Crypto News Australia.

Also read: 2 factors are behind Bitcoin’s $111K recovery, but is it a bull trap?
WHAT'S YOUR OPINION?
Related News