Investors from both traditional finance and the crypto world are increasingly aligning on the view that stablecoins represent one of the most significant business opportunities in a generation.
Such is the belief of Kyle Samani, Managing Partner of Multicoin Capital, who recently said that stablecoins—a form of crypto pegged to fiat like the U.S. dollar—will likely turn out to be "the single largest arbitrage in human history."
“There's 8 billion people on the planet. If you could go to each of those eight billion people and ask them, you can denominate your wealth in any asset—gold, Apple stock, S&P 500, euros, yen, whatever you want—my suspicion is if you went and asked everyone in the world and they could answer the question without fear of political persecution, I suspect five to seven billion of them would say U.S. dollars,” Samani said during a recent panel discussion at Digital Asset Summit 2025 in New York City.
.@KyleSamani says stablecoins represent what is likely "the single largest arbitrage in human history." pic.twitter.com/F3ARzMELYx
— Josh Caplan (@joshdcaplan) March 26, 2025“It's like probably like the single largest like arbitrage ever in human history is to just get those people what they want,” the crypto investor and venture capital added. ”If you think that's what they want, then give it to them. And crypto rails are going to be the mechanism by which you do so, and so I think there's a massive opportunity to get stablecoins in the hands of billions of people.”
Stablecoins are experiencing rapid growth due to their unique ability to combine the stability of traditional fiat currencies with the efficiency and accessibility of blockchain technology. Unlike volatile cryptocurrencies like Bitcoin, stablecoins are pegged to assets such as the U.S. dollar, offering a reliable store of value that appeals to both retail and institutional investors.
Their use cases are vast and expanding: they enable fast, low-cost cross-border payments, bypassing the inefficiencies of traditional banking systems; they serve as a bridge between fiat and crypto markets, facilitating seamless trading on exchanges; and they power decentralized finance (DeFi) platforms, where users can lend, borrow, or earn interest without intermediaries. Additionally, stablecoins are increasingly adopted in real-world applications, such as remittances, micropayments, and even as a hedge against inflation in countries with unstable currencies, driving their meteoric rise as a cornerstone of the evolving financial landscape.
The growth in stablecoins use of has been explosive in recent years.
Onchain data highlight a remarkable rise in Ethereum's stablecoin supply, peaking at a record-breaking $132.4 billion. Tether (USDT) and USD Coin (USDC) lead the pack, forming the lion's share of the stablecoin volume on this blockchain.
As of March 24, 2025, USDT on Ethereum surpassed $75 billion, with USDC trailing at just above $39 billion. Additional stablecoins like USDe, USDS, DAI, FDUSD, and PYUSD contributed $5.39 billion, $4.49 billion, $2.95 billion, $2.07 billion, and $714.23 million, respectively, to the total stablecoin pool on Ethereum.
This figure accounts for over half of the broader stablecoin market cap, which has soared to roughly $230 billion by March 2025.
In another feat for the stablecoin space, Tether CEO Paolo Ardoino recently revealed the company purchased more U.S. treasuries than Canada, retaining $33.1 billion in U.S. government debt.
Last week, the Senate Banking Committee approved the Guiding and Establishing National Innovation for US Stablecoins Act of 2025, also known as the “GENIUS Act,” with a bipartisan vote of 18-6, advancing it out of committee. President Donald Trump has voiced his intent to sign payment stablecoin legislation into law this year.
Tyler Durden Thu, 03/27/2025 - 04:15
