Stablecoins move rapidly from niche products to primary payment infrastructure, according to giant DWS asset management.
With a combined market cap above $ 250 billion and transaction volumes outpacing visa (V) and Mastercard (MA), it became liquid, global exchanged properties favored by institutions, the DWS said in a report last week.
Euro Stablecoins set new benchmarks for efficiency and acceptance, according to the report.
Stablecoins are cryptocurrencies that the value is tied to another owner, such as the US dollar or gold. They play a major role in cryptocurrency markets, which provides payment infrastructure, and are also used to transfer money worldwide.
German Investment Investment Reflects Regulation such as Europe Markets in crypto-assets (MICA) Adoption of driving regulation, while growing liquidity and interoperability make stablecoins integral to banking, treasury and B2B payment systems. That integration can unlock new use cases, from mass payments to automatic repairs.
However, the risks will remain, the DWS said. This includes reserve transparency, providing confidence and regulations of transfers.
“Stablecoins show the transformation of the financial system by incorporating stability to change, as well as security efficiency,” said Alexander Bechtel, global leader of digital approach, DWS products and solutions; In the report.
Read more: Stablecoin Surge can have a $ 1t exit from emerging bank market banks: Standard Chartered
