Standard Chartered has expanded its digital asset footprint by launching spot trading for Bitcoin (BTC) and Ethereum (ETH) through its institutional crypto platform. This move comes at a time when regulatory and investor focus in the U.S. is increasingly turning towards stablecoins.
This initiative follows a series of high-level meetings held in Washington, New York, and Boston from July 7 to July 11. Geoffrey Kendrick, the bank’s Head of Digital Assets Research, engaged with various stakeholders, including crypto-native firms, Bitcoin miners, funds, and policymakers. Nearly 90% of these discussions were centered on stablecoins, despite Bitcoin reaching new record highs.
Interest in stablecoins has surged due to the impending passage of the GENIUS Act, a U.S. bill aimed at establishing clear rules for fiat-backed digital assets. Kendrick anticipates that this legislation could become law as early as this week, paving the way for rapid expansion of the U.S. stablecoin market. This regulatory clarity is expected to unlock broader adoption across financial institutions and public-sector entities.
Clients now project a stablecoin market size of $750 billion by the end of 2026, up from approximately $250 billion as of July 15. With regulatory clarity, stablecoin issuance is expected to broaden significantly, not only through major financial players but potentially also regional banks and local governments exploring tokenized cash instruments.
Beyond adoption, discussions also touched on macroeconomic implications, including possible shifts in the U.S. Treasury curve, long-term effects on dollar liquidity, U.S. payment system reform, and stablecoin-driven financial stability risks in emerging markets.
Standard Chartered’s report suggests that the broader stablecoin sector may be evolving faster than previously anticipated. Kendrick highlighted that the Digital Asset Market Clarity Act, a separate legislative effort, could pass by late September or early October, potentially accelerating the tokenization of real-world assets (RWAs) and the integration of DeFi rails.
On-chain data shows consistent growth in stablecoin balances across all wallet sizes, including centralized exchanges, DeFi platforms, and mid-sized retail wallets, indicating broadening use cases and growing global demand. Kendrick’s findings and Standard Chartered’s trading desk launch reflect a pivotal shift in institutional crypto strategy. While Bitcoin’s role as a store of value remains intact, the infrastructure and policy agenda now appear firmly focused on stablecoins as the backbone of programmable money.
