Stablecoin market seen hitting $1.16T by 2031

Mordor Intelligence says the global stablecoin market could rise from $0.33 trillion in 2026 to $1.16 trillion by 2031, driven by cross-border settlement, treasury use and broader regulatory clarity. Asia-Pacific is projected to hold 39.6% of the market size in 2025.

Why it matters: - Stablecoins are moving beyond crypto trading and into payments, treasury operations and digital commerce. - The shift could lower cross-border transfer costs and speed up settlement for businesses, banks and remittance users. - Regulatory clarity in the US and Europe is helping institutions consider stablecoin-based payment and settlement products.

What happened: - Mordor Intelligence projected the global stablecoin market will grow from $0.33 trillion in 2026 to $1.16 trillion by 2031. - The market forecast implies a 28.77% compound annual growth rate from 2026 through 2031. - Asia-Pacific is expected to account for 39.6% of the market size in 2025. - The report was released Sept. 2, 2026, from Hyderabad, India.

The details: - Stablecoins are gaining traction in cross-border payments and remittances because they can operate around the clock and reduce transaction delays. - Stablecoin transfers can also reduce costs compared with traditional banking networks. - Enterprises are testing stablecoins for liquidity management, supplier payments and cross-border transfers. - Banks, payment companies and crypto firms are building products for institutional users. - Better custody and payment infrastructure are supporting adoption. - The report flagged reserve transparency, compliance requirements and uneven licensing rules as factors that could slow adoption. - Regulatory rules around reserves, custody, disclosures and issuer oversight are helping buyers separate compliant providers from less certain ones. - Compliance is becoming more important for partnerships, exchange listings and institutional adoption.

Between the lines: - The market outlook suggests stablecoins are becoming infrastructure, not just a trading asset. - Institutions appear to be competing on trust, compliance and distribution, not only on technology. - The concentration of the market around a few major issuers points to a maturing sector, even as new entrants from traditional finance increase pressure. - Asia-Pacific’s projected share reflects the region’s remittance flows, mobile finance adoption and active crypto usage.

What's next: - A group of 21 major financial institutions, including Goldman Sachs, Bank of America, Citi and Deutsche Bank, plans to form a company to launch a U.S. dollar-pegged stablecoin in the first half of 2027. - The group is also considering stablecoins tied to other G7 currencies, starting with the euro. - Continued regulatory development in the US, Europe and other regions will likely shape adoption rates. - Market growth will depend on how quickly stablecoin issuers can prove reserve quality, compliance and real-world utility.

The bottom line: - Stablecoins are emerging as a payment and settlement tool with major financial institutions now preparing to compete in the market.