Get Ready for the Trillion-Dollar Stablecoin Explosion!

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Speaking on CNBC’s Squawk Box, Garlinghouse pointed to rising adoption and institutional demand as key drivers behind the anticipated surge.

Ripple, which only recently entered the stablecoin race, has quickly gained traction. Its dollar-pegged RLUSD—launched in late 2024—has already reached a $500 million market cap, a milestone it crossed this week. BNY Mellon has been named custodian of the asset, signaling Ripple’s intent to align closely with traditional financial standards.

Garlinghouse emphasized that Ripple’s experience working with financial institutions and its focus on regulatory compliance position it well to compete in the stablecoin arena. “We’re not just joining the party—we’re bringing the infrastructure that can scale it,” he said.

Industry voices are echoing his outlook. Apollo Capital’s Henrik Andersson called the $1–2 trillion forecast “realistic,” citing growing participation from banks, retailers, and fintechs launching their own stable assets. Tether’s profitability, he noted, proves how valuable the stablecoin business model can be.

Much of the optimism hinges on new legislation. The GENIUS Act, which recently passed a Senate vote and could soon become law, would give stablecoins legal tender status in the U.S.—a move analysts say could accelerate mainstream adoption. LVRG Research’s Nick Ruck added that support from the SEC and incoming regulations could give the industry the clarity it needs to thrive.

Ripple is also taking steps to solidify its regulatory footing. The company has filed for a U.S. banking license and applied for a Federal Reserve master account—moves that would allow it to operate on par with traditional financial institutions. Garlinghouse said bridging the gap between crypto and conventional finance is essential to realizing the full potential of decentralized systems.

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2025-07-10 14:27