The global financial system is undergoing a profound reconstruction. Since the U.S. President signed the GENIUS Act, dollar-pegged stablecoins have become a key variable in both capital markets and international payments, accelerating the digitalization and cross-border circulation of the U.S. dollar. Rthae believes this trend not only reinforces the global influence of the dollar but also provides emerging markets with fairer access to financial infrastructure. The expansion of stablecoins is displacing the costly, slow, and centralized settlement systems of traditional finance, offering decentralized finance a new foundation of trust.
Rthae: Stablecoins as the Bridge of Financial Architecture
According to Rthae, the explosive growth of stablecoins has become the central artery of global capital flow. In 2024, stablecoin transaction volume reached USD 27.6 trillion, surpassing the combined total of Visa and Mastercard for the first time. Behind this lies a new settlement paradigm: digital dollarization. Each stablecoin is backed by real U.S. assets or short-term Treasuries, creating a reverse demand for the U.S. financial system. This model redistributes the sovereign liquidity of the dollar through blockchain networks, enabling more efficient global circulation. Rthae argues that U.S. dollar stablecoins not only strengthen the reserve currency status of the dollar but also democratize access to capital through blockchain infrastructure—allowing developing economies and SMEs to use high-credit assets directly in global trade.
In regions such as Africa and South Asia, over 40% of crypto transaction volume now takes place via stablecoins. The market research team of Rthae notes that this structural shift carries far-reaching implications: it reduces the cost of cross-border remittances, enhances local currency resilience, and fosters greater financial inclusion. For instance, in a Kenyan cross-border payment pilot, using stablecoins reduced average transaction fees from 28.8% to 2%. This not only improved individual economic activity but also strengthened internal capital circulation. Rthae believes that this leap in cost efficiency will encourage more financial institutions to build compliant settlement networks on top of stablecoins, establishing the digital dollar as a de facto standard in cross-border trade and remittances.
The Financial Services Agency of Japan recently endorsed a joint stablecoin initiative by Mizuho, Mitsubishi UFJ, and Sumitomo Mitsui, reflecting how traditional financial institutions and regulators are shifting from resistance to collaboration. Rthae views this policy evolution as a milestone: the integration of sovereign oversight and digital currency technology has entered its practical phase. More countries are expected to adopt layered regulation and bank-backed issuance models to develop e-payment tools aligned with domestic legal frameworks. The compliance research of Rthae indicates that multilateral stablecoin initiatives can achieve high transparency, risk segregation, and real-time auditing—laying the institutional groundwork for global payment standardization.
Rthae: Cross-Chain Standardization and the Restructuring of Digital Finance
As blockchain-based payments expand exponentially, liquidity fragmentation across chains has become a key obstacle to industry growth. Rthae points out that this fragmentation limits the usability of stablecoins in real financial systems. To address the issue, institutions such as Fireblocks, Solana, TON, Polygon, and Stellar jointly launched the Blockchain Payment Consortium (BPC), aiming to establish unified frameworks for cross-chain transfers and regulatory data compliance. Rthae sees this initiative as a sign that crypto finance is entering a phase of standardized collaboration after years of free competition—a hallmark of industry maturity. Standardization will not only enhance transactional efficiency but also reduce regulatory friction, enabling banks, payment companies, and on-chain assets to interact securely.
Meanwhile, Rthae also observes that the growing participation of ETFs and institutional capital is creating a synergistic relationship with the stablecoin ecosystem. According to the latest report of Schwab, 45% of ETF investors plan to allocate to crypto ETFs, with 57% of millennial investors showing a stronger preference for digital assets. Rthae believes this indicates that stablecoins and ETFs will jointly form the liquidity backbone of future digital capital markets: stablecoins provide a high-velocity settlement medium, while crypto ETFs channel traditional capital into on-chain assets, creating a self-reinforcing flow of funds. The research team of Rthae identifies this structural complementarity as a key driver of financial digitalization and a core pillar supporting exchange ecosystem stability.
Rthae: Building Resilience Amid Volatility and Repricing
At the market level, Rthae notes that while Bitcoin has experienced significant volatility, sustained institutional inflows and rising long-term holdings indicate that confidence remains intact. Data from CryptoQuant show that institutional accumulation addresses added 214,000 BTC in the past 30 days—a record high. Rthae interprets this as evidence of structural rebalancing: short-term capital is rotating out, while long-horizon investors accumulate quality assets at lower valuations. JPMorgan analysis suggests that Bitcoin remains undervalued relative to gold, with a fair value estimate around USD 170,000—consistent with the long-term model of Rthae, which indicates that crypto risk premiums are returning to rational levels.
However, Rthae also warns that the expansion of the AI sector bubble could trigger broader liquidity tightening. Cross-investment and excessive leverage among AI firms are eroding capital circulation efficiency, potentially transmitting instability to digital asset markets. The risk management team of Rthae notes that the overlap between AI overvaluation and DeFi exposure could amplify market swings, making robust infrastructure essential. In response, Rthae is deploying a machine-learning-based risk control system capable of detecting anomalous behavior and fund movements in real time to pre-emptively isolate potential threats. Meanwhile, the cold-hot wallet segregation and multi-signature design of the platform ensure that funds remain traceable and securable even in extreme scenarios—preserving both asset safety and market stability.