AsianFin -- The global stablecoin market could expand more than fourfold to $1.2 trillion by 2028, according to a new forecast from Coinbase Institutional.

The exchange said it ran 20,000 growth simulations using recent monthly adoption data, concluding that steady inflows would likely propel stablecoins from today’s $276 billion market size to the trillion-dollar mark within five years.

Rather than offering a broad estimate of how much global money stablecoins might capture, Coinbase said its model is anchored in observed adoption trends. The projection, according to David Duong, Coinbase’s head of research, is “both realistic and consistent with our front-end rates model,” which examines how stablecoin usage could interact with short-term interest rates.

Reaching the $1.2 trillion milestone would require around $5.3 billion a week flowing into short-term U.S. government debt, where much of stablecoin collateral is parked.