Unstoppable Domains CEO Matthew Gould believes Bitcoin will not retest its all-time high of $64,000 for at least one year.
According to Unstoppable Domains CEO Matthew Gould, the private stablecoin market will explode in the next four years despite current regulatory uncertainty. Gould predicted in a Thursday interview with Business Insider that the stablecoin market would reach $1 trillion by 2025, nearly doubling from around $115 billion at the time of writing.
“We may even do it quicker than that,” the CEO added, noting that global stablecoin adoption will be accelerated in part by the growing acceptance of decentralized finance applications. The more people who own stablecoins, the more people will be able to participate in decentralized finance, Gould explained.
Despite his optimism for stablecoins’ future, Gould stressed that a rapid growth of this digital asset type entails certain financial risks, including concerns about stablecoins’ volatility and their one-to-one correlation to pegged assets such as the US dollar. “Whenever you experience that level of growth, you’re going to encounter risk. You should not be able to refer to yourself as a $1 coin unless you have $1 in the bank,” he noted.
Gould remains confident, however, that increased regulatory clarity and increased competition in the stablecoin market will eventually eliminate these risks. “Groups like Circle with their USDC have taken the most conservative and safest approach in building out their stable coins. And they’ve been really actively engaged in the US to ensure that they’re compliant,” the CEO added.
Apart from forecasting a significant stablecoin market surge, Gould is bullish on the cryptocurrency market in general, predicting that the industry will continue to consolidate in the long run. However, the CEO believes Bitcoin (BTC) will remain well below its all-time highs for at least a year after reaching $64,000 in April.
“I think we’re going to continue to be range-bound for the rest of this year. This is based on past experience, typically when the market crashes 50% or more, it takes a year or two of consolidation.”
Gould’s remarks come as global financial regulators focus their attention on stablecoins such as Tether (USDT) and USD Coin (USDC), amid growing concern about the market’s rapid growth from less than $1 billion in 2019 to over $100 billion in 2019. In mid-July, US Treasury Secretary Janet Yellen urged financial regulators to swiftly establish a stablecoin regulatory framework. Previously, the Japanese Ministry of Finance announced plans to tighten global regulations governing digital currencies, particularly fiat-pegged stablecoins.
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