Stablecoin Takeover Decade
Fred Wilson #2@fredwilson2
· 1
−3.5%
since Sep 11
The idea
I believe stablecoins take over payments and a growing slice of banking over the next decade, with crypto-native players leading the charge before fast-moving fintechs adapt and win too. To express this, I spread the basket across every layer of that shift: the storefronts and exchanges where people hold and spend digital dollars, the fastest-adapting incumbents, the issuers minting the coins, the chains settling them, and the custody plumbing underneath.
What it owns
- Payment platforms and fintechs that move stablecoin features into their apps faster than traditional banks capture share from legacy card networks. · BlockIt operates Square and Cash App, steadily routing merchant and peer-to-peer payments over stablecoin rails instead of card networks., ShopifyIt has turned on stablecoin checkout for merchants and continues buying deeper into developer tools, betting online stores accept digital dollars at scale., Nu HoldingsIt runs a digital bank in Latin America where customers actively want dollars on a phone, positioning it to embed stablecoin products into its app., MercadoLibreIt runs the largest commerce and payments network in Latin America, positioned to carry transaction volume if Mercado Pago adopts stablecoin rails.25%
- Companies that mint stablecoins earn interest on the reserves backing every dollar in circulation, with revenue growing alongside adoption. · Circle Internet GroupIt mints USDC and operates a payment network, capturing stablecoin reserve income while enabling merchants to accept digital dollars directly., PayPal HoldingsIt issued PYUSD to its hundreds of millions of users and merchants, winning if adoption grows and the company keeps prioritizing the stablecoin.20%
- Crypto-native exchanges and wallets that process stablecoin trading and custody reach customers first as digital dollars move into everyday use. · Robinhood MarketsIt has shipped crypto and payments features faster than traditional banks, converting its large user base into stablecoin and crypto activity., BullishIt serves institutional traders and funds on crypto rails, growing revenue as banks and large investors move real money into digital dollar trading., Gemini Space StationIt is a crypto-native exchange and wallet that grows users and custody assets as stablecoins enter mainstream adoption and displace traditional finance.17%
- Blockchain networks that settle stablecoin transactions collect fees from every transfer, scaling their revenue as payment volume grows. · iShares Ethereum Trust ETFIt tracks Ethereum, the network where most stablecoin value settles today, so demand for the chain grows as digital dollar volume scales., Bitwise Solana Staking ETFIt tracks Solana, a chain built for fast and cheap payments where stablecoin transfer volume rises as apps choose it for everyday transactions.16%
- Service providers that hold reserves, manage assets, and run infrastructure for stablecoins earn steady fees that grow with the overall ecosystem. · Amplify Transformational Data Sharing ETFIt holds a diversified basket of crypto-linked companies, providing broad exposure to winners across the ecosystem even if individual picks underperform., Galaxy DigitalIt builds back-end services, trading, and infrastructure that institutions need to operate on crypto rails, earning fees as banks and funds migrate., BlackRockIt manages the enormous reserves backing USDC and operates tokenized funds, earning fees as stablecoin balances grow and assets are parked in digital dollars.15%
- Cash7%