Nasdaq also received regulatory approval to allow certain stocks to be issued and traded in this digital onchain form.

Second, the rise of trusted digital cash is providing the missing piece to make thse trades settle instantly. Standard stablecoins are expected to grow to $1.9 trillion market by 2030, working alongside digital bank deposits to allow assets and cash to swap at the exact same moment. The report expects that the growth of stablecoins alone could create about $1 trillion in new demand for U.S. government bonds, because the companies issuing stablecoins back their digital cash with these real bonds.

Third, the government rules are getting clearer, with a key piece of U.S. digital asset legislation moving forward to a full U.S. Senate vote. On May 14, the Senate Banking Committee managed to end a four-month stall with a 15-9 bipartisan approval by the committee, which advanced the Clarity Act to its next step.

The Citi report notes that the growth they forecast will happen in mainstream public markets, such as U.S. stocks and government bonds, rather than private markets, which are harder to trade and change slowly.

Citi assumes that 10% of the U.S. Treasury bill market and 3% of the U.S. public stock market will be tokenized by 2030. If just 10% of everyday U.S. investors switch to these new digital trading platforms, it would create $2.6 trillion in demand for digital stocks.

On the other side, complex areas like private credit and private equity are each expected to reach a much smaller $100 billion globally by 2030.

The shift will not happen overnight, Citi noted, saying that instead, old and new financial systems will have to run side by side for a while.

The report compares this to how highways adopted electronic toll tags like E-ZPass. Toll roads did not become fully automated in one day. Instead, states built wider roads with parallel lanes for both cash and automated drivers, which added extra cost and confusion before everyone eventually switched over to the fully automated system.

Ultimately, this new setup will give a major advantage to “Structural Orchestrators”. These are the specific big banks and investment firms that control both the real assets and the digital cash rails used to pay for them, allowing them to handle the entire trade inside their own network.

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(CoinDesk Data)

XRP hit a 15-week low before stabilizing, with traders watching whether the latest washout turns into a base or another leg lower.

What to know:

  • XRP has fallen to a 15-week low near $1.32, with sellers repeatedly overpowering attempts at price recoveries despite signs of tokens leaving exchanges.
  • More than 25 million XRP have moved off exchanges and spot XRP ETFs have drawn about $1.42 billion in cumulative inflows, but these accumulation signals have not…

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