Stablecoin and tokenized cash markets could hit $3.6 trillion by 2030, a new report by Bank of New York Mellon predicts.
In a recent report by the Bank of New York Mellon (BNY), a global financial group, it forecast a $3.6 trillion combined market capitalization for stablecoin and tokenized cash.
The report noted that stablecoins alone are expected to account for $1.5 trillion, while the rest would be made up by tokenized deposits and money market funds.
It further classifies these assets as ‘Digital Cash Equivalents,’ explaining that they will be key tools for faster settlement times, improved collateral mobility, and counterparty risk mitigation, making them a more attractive option for institutional investors.
According to the report, “Institutional demand and regulatory progress are the key drivers of growth in the digital cash asset market.”
The bank particularly highlighted the key role of tokenized U.S. Treasuries or bank deposits are improving institutional investors’ collateral management and reporting efficiency.
The report underscored a significant shift within the global capital markets as institutions are increasingly adopting digital cash.
“We stand at a powerful inflection point that may fundamentally transform how global capital markets function and how their participants transact,” said Carolyn Weinberg, BNY’s chief product and innovation officer.
Notably, the report identified regulation as a key catalyst for the predicted growth, citing the implementation of the EU’s MiCA and the ongoing policy discussion in the U.S. and the Asia-Pacific region to balance innovation with market stability.
Addressing whether blockchain would effectively replace traditional finance, given its rapid growth, Carolyn Weinberg, Head of Products and Innovation at BNY, clarified that,
Blockchain will function complementarily rather than replace existing financial infrastructure. The combination of traditional finance and digital assets will be a powerful key to unlocking new market innovations.
Stablecoin Market in Africa
According to Yellow Card’s 2025 reports, 43% of stablecoin transactions in 2024 came from Sub-Saharan Africa, positioning the region as a global leader in stablecoin adoption with a rate of 9.3%. This reflects the thriving stablecoin market in the region, poised for continued growth as adoption and partnership expand.
As rightly noted by BNY Mellon, institutional demand and regulations will be the key enablers of growth within the stablecoin markets in the coming years. Notably, these areas have received keen attention in Africa, particularly in recent times.
African crypto infrastructure providers, such as Yellow Card and Flutterwave, are shifting towards institutional operations by building partnerships with regional traditional finance institutions, including Ecobank, as well as global fintech companies like Thunes and leading blockchain corporations, including Polygon.
Across the continent, several countries, including Nigeria, Kenya, Ghana, South Africa, and Sierra Leone, are advancing efforts to establish comprehensive regulatory frameworks that balance innovation and regulatory oversight.
The African stablecoin market is growing at an unprecedented pace, with regulatory progress and strategic partnerships in place. Thus, it is evident that Africa will play a pivotal role in the next wave of stablecoin adoption.
