Citigroup, the investment banking giant, predicts that regulatory changes could drive significant adoption of stablecoins and blockchain technology in India by 2025. In a recent report, Citigroup analysts mentioned that 2025 could be a transformative year for blockchain adoption, similar to the ‘ChatGPT’ moment, fueled by regulatory reforms. The report suggests that the stablecoin market cap may reach as high as $3.7 trillion by 2030, with regulatory clarity in the US playing a crucial role in enabling greater integration of stablecoins and blockchain technology into the financial system. The US government, under the crypto-friendly administration, is considering legislation like the GENIUS Act to regulate stablecoins for legal payment usage. Citigroup also forecasts that stablecoin issuers could hold more US Treasuries by 2030, potentially surpassing holdings of any single jurisdiction today. Despite the positive outlook, challenges such as adoption hurdles and depegging risks remain. The stablecoin market cap could stabilize around $500 billion if integration challenges persist, with potential depegging events posing liquidity risks. Citigroup warns that major depegging incidents could impact market liquidity, trigger automated liquidations, and have broader contagion effects on the financial system. In India, as well as globally, the future of stablecoins and blockchain technology is closely tied to regulatory developments and market dynamics, which could shape the landscape of digital assets in the coming years.