Coinbase and Citibank are joining forces on stablecoins to rewire how money moves, with the latter betting that the sector will be worth $4 trillion by 2030.
The partnership combines the flagship US crypto exchange’s infrastructure with the bulge bracket bank’s payments network, which spans 94 global markets and over 300 clearing systems.
Together, the firms plan to build on- and off-ramps, streamline settlement, and make digital dollars flow 24/7.
“The ability to easily orchestrate transactions on blockchains and convert between fiat and digital assets — whether to settle payments, manage treasury, or drive efficiencies across financial infrastructure — is critical,” Coinbase said. “We’re excited to work with Citi to bring this technology to their clients.”
The new collaboration marks a turning point for crypto and traditional finance. Once in the shadows, crypto companies are now working with banks to push everyday adoption.
This comes as the stablecoin sector surges toward a $310 billion market cap, according to DefiLlama data.
And analysts say that this is just the start. Stablecoins will account for 12% of global payments by 2030, according to investment firm Keyrock and Bitso, a crypto exchange.
Similarly, venture capital firm a16z Crypto estimates that the entire stablecoin market will balloon tenfold to be worth $3 trillion in that time.
Stablecoins take centre stage
Citi is even more bullish on stablecoins, forecasting in September that the market will be worth $4 trillion by 2030.
In a report last month, it pinpointed President Donald Trump signing the Genius Act into law and establishing the first federal framework for stablecoins as a key moment that will fuel that growth.
Citi called the rise of stablecoins blockchain’s “ChatGPT moment,” predicting they could power $200 trillion in annual transactions by the end of the decade.
The bank said stablecoins are “vital additions to the financial toolkit,” especially for businesses and households in emerging markets seeking faster, cheaper ways to transact.
And Citi’s optimism is echoed by many in the industry.
Thomas Mattimore, CEO of ABC Labs and a core contributor of the Reserve protocol, told DL News the benefits extend beyond efficiency.
“Stablecoins give people direct access to a more stable and globally trusted form of money, often the US dollar, without requiring a bank account or relying on traditional intermediaries,” he said.
“They make payments faster, remittances cheaper, and savings more secure.”
Mattimore said the Trump administration’s pro-stablecoin stance is accelerating adoption.
“Clearer regulation will unlock broader participation from institutional players, while linking stablecoin growth to Treasury demand is smart macro policy,” he said.
The sentiment matches earlier predictions from US Treasury Secretary Scott Bessent, who said stablecoins could grow into a $2 trillion market in the next few years.
Coinbase’s strategic play
For Coinbase, the deal is the latest in a string of big moves.
On October 21, the US-based exchange announced it had acquired the early stage investing platform Echo for $375 million in a cash and equity deal.
The new agreement with Citi is part of its evolution from a crypto exchange to what Coinbase CEO Brian Armstrong describes as a “financial super app.”
“We do want to become a super app and provide all types of financial services,” Armstrong told Fox Business earlier this year. “These are just more modern, efficient rails that make every payment and the economy fast and cheap.”
The collaboration with Citi extends that vision to the institutional level, giving corporate treasuries and global firms access to regulated onchain settlement powered by Coinbase’s Base network.
Luke Youngblood, founder of the Moonwell DeFi protocol on Base, told DL News that Coinbase’s network is well-positioned for the next wave of stablecoin adoption.
“USDC on Base is a major growth winner because Coinbase and Circle are minting a lot on that network,” he said.
“Coinbase has the distribution to 100 million users, and the Base network is effectively free for transactions.”
Lance Datskoluo is DL News’ Europe-based markets correspondent. Got a tip? Email lance@dlnews.com.
