Share this article
DWS Sees Stablecoins Emerging as Core Payments Infrastructure
With rising liquidity, regulatory clarity and institutional use, stablecoins are moving beyond crypto trading to challenge traditional payment networks, DWS said.
Oct 14, 2025, 3:05 p.m.
Make us preferred on Google
What to know:
- DWS said stablecoins are evolving into core payment infrastructure, surpassing Visa and Mastercard in transaction volumes.
- Regulatory clarity and growing liquidity are driving institutional adoption, especially for euro stablecoins.
- The asset manager sees new use cases ahead but warns of risks tied to reserves, issuer trust and regulation.
Stablecoins are rapidly moving from niche products to core payment infrastructure, according to asset management giant DWS.
With a combined market cap above $250 billion and transaction volumes outpacing Visa (V) and Mastercard (MA), they’ve become liquid, globally traded assets favored by institutions, DWS said in the report last week.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
Euro stablecoins are setting new benchmarks for efficiency and acceptance, according to the report.
Stablecoins are cryptocurrencies whose value is tied to another asset, such as the U.S. dollar or gold. They play a major role in cryptocurrency markets, providing a payment infrastructure, and are also used to transfer money internationally.
The German investment manager sees regulation such as Europe's Markets in Crypto-Assets (MiCA) regulation driving adoption, while growing liquidity and interoperability are making stablecoins integral to banking, treasury and B2B payment systems. That integration could unlock new use cases, from mass payments to automated settlements.
Still, risks remain, DWS said. These include reserve transparency, issuer trust and regulatory shifts.
“Stablecoins exemplify the transformation of the financial system by combining stability with innovation, as well as efficiency with security,” said Alexander Bechtel, DWS’s global head of digital strategy, products and solutions; in the report.
Read more: Stablecoin Surge Could Trigger $1T Exit From Emerging Market Banks: Standard Chartered
AI Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards. For more information, see CoinDesk's full AI Policy.
More For You
KuCoin captured a record share of centralised exchange volume in 2025, with more than $1.25tn traded as its volumes grew faster than the wider crypto market.
What to know:
- KuCoin recorded over $1.25 trillion in total trading volume in 2025, equivalent to an average of roughly $114 billion per month, marking its strongest year on record.
- This performance translated into an all-time high share of centralised exchange volume, as KuCoin’s activity expanded faster than aggregate CEX volumes, which slowed during periods of lower market volatility.
- Spot and derivatives volumes were evenly split, each exceeding $500 billion for the year, signalling broad-based usage rather than reliance on a single product line.
- Altcoins accounted for the majority of trading activity, reinforcing KuCoin’s role as a primary liquidity venue beyond BTC and ETH at a time when majors saw more muted turnover.
- Even as overall crypto volumes softened mid-year, KuCoin maintained elevated baseline activity, indicating structurally higher user engagement rather than short-lived volume spikes.
More For You
How a 'perpetual’ stock trick could solve Michael Saylor’s $8 billion debt problem
The bitcoin treasury firm is using perpetual preferreds to retire convertibles, offering a potential framework for managing long-dated leverage.
What to know:
- Strive upsized its SATA follow on offering beyond $150 million, pricing the perpetual preferred at $90.
- The structure offers a blueprint for replacing fixed maturity convertibles with perpetual equity capital that removes refinancing risk.
- Strategy has a $3 billion convertible tranche due in June 2028 with a $672.40 conversion price, which could be addressed using a similar preferred equity approach.
Top Stories
