In a recent tweet, Coinbase forecasts that the stablecoin market cap could reach $1.2 trillion by 2028 buoyed by gradual, policy-driven adoption that increases over time.
Stablecoin market cap could reach $1.2T by 2028.
We believe this estimate doesn’t require excessive or permanent rate disruptions, but gradual, policy-driven adoption that compounds over time.
More insights on stablecoin growth in our Research Team’s Market Intelligence report… pic.twitter.com/VPfe6m4wH2
— Coinbase Institutional 🛡️ (@CoinbaseInsto) August 22, 2025
Coinbase bases this prediction on its stochastic method, which it says is both realistic and consistent with its front-end rates model. At its current market valuation, stablecoins reaching $1.2 trillion would mean absorbing about $925 billion in U.S. Treasury Bills (T-Bills), or $5.3 billion per week over a duration of 175 weeks, or approximately 40 months.
Coinbase also believes that the recent regulatory developments, such as GENIUS Act, might also contribute to this growth, as it would help to mitigate run risks and create a more resilient stablecoin ecosystem. Stablecoin market growth would also be dependent on key factors such as efficient ramps, wide distribution networks and the expanding roles of market players.
Stablecoins gain traction
According to CoinMarketCap data, the total market capitalization of top stablecoin tokens is currently at $287.56 billion.
This week, Bullish stated that it had planned to receive $1.15 billion in revenues from its recently completed initial public offering in stablecoins, a historic first for the use of stablecoins in an IPO in the United States.
Coinbase is solely responsible for the custody of the IPO proceeds, the majority of which were settled in USDC and a portion in EURC. A portion of the proceeds were also settled in PayPal USD (PYUSD) and Ripple USD (RLUSD), among others.
In a recent listing, Coinbase announced that World Liberty Financial USD (USD1) stablecoin is now available on the Coinbase platform and in the Coinbase iOS and Android apps, allowing users to buy, sell, convert, send, receive or store the stablecoin.
