Stablecoins, the dollar-pegged cryptocurrencies that gained prominence in 2025, are experiencing a much lower level of adoption than previously estimated. A recent report from McKinsey Financial Services indicates that the metrics used to gauge stablecoin growth have been misleading. While the industry celebrated a supposed surge in adoption, the reality reveals only about 1% of total transaction volumes are related to genuine real-world payments.
Tech giants like Stripe and Sony ventured into the stablecoin space following the clarity offered by the GENIUS Act. However, allegations of corruption have surfaced regarding the stablecoin associated with former President Donald Trump, raising questions about the integrity of the sector. Wall Street analyst Tom Lee previously likened stablecoins to a “ChatGPT moment” for the cryptocurrency industry, reflecting a view that adoption was on the rise.
Despite claims of a record year, the McKinsey report estimates stablecoin adoption at approximately $390 billion for 2025, which is only about 0.02% of global payments. Most of the stablecoin activity stems from business-to-business (B2B) payments and international remittances. Activities involving crypto exchanges, automated smart contracts, and decentralized trading do not reflect genuine payment use and skew the adoption metrics.
Geographical Insights and Real Growth
According to the report, approximately 60% of stablecoin activity arises from Asia, particularly from Singapore, Hong Kong, and Japan. This regional dominance highlights the concentrated nature of stablecoin usage, mainly driven by specific financial activities rather than widespread consumer adoption.
While the report underscores the discrepancies in stablecoin usage metrics, it also highlights signs of growth. The expected $390 billion in stablecoin payments for 2025 marks more than double the volume recorded the previous year. Furthermore, the total supply of stablecoins has surged from less than $30 billion in 2020 to over $300 billion today.
Nevertheless, not all of this growth can be perceived positively. A Chainalysis report indicates that stablecoins now facilitate a significant portion of illicit cryptocurrency transactions. Evidence suggests that regimes, such as that of Venezuela’s President Nicolás Maduro, have heavily utilized Tether’s USDT stablecoin, complicating the narrative surrounding stablecoin adoption in the United States.
Shifting Perspectives on Adoption and Control
The stablecoin landscape has sparked debates among different factions within the cryptocurrency community. Originally viewed as a catalyst for broader crypto adoption, the rise of stablecoin issuers has led to the establishment of their own blockchain infrastructures, introducing additional layers of centralization.
Some analysts, including Tom Lee, maintain a bullish outlook on the issuance of stablecoins and other tokens based on real-world assets, like tokenized stocks. Yet, questions linger about whether these developments will create real value for decentralized networks like Ethereum or if stablecoin issuers could potentially undermine them altogether.
As the industry navigates the complexities of stablecoin adoption and its implications, the findings of the McKinsey report serve as a crucial reminder of the need for accurate metrics and transparency in the rapidly evolving cryptocurrency market.
