Solana Breakpoint 2025 - Income Generating Strategies in Crypto: Re7 Capital (Evgeny Gokhberg)

Keynote speakers - Pierre Henry & Evgeny Gokhberg

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Summary

This discussion with Sergio from Anchorage highlights the evolving landscape of stablecoins, focusing on Anchorage’s role bridging traditional and decentralized finance. Anchorage’s federal banking charter enables it to issue compliant stablecoins, supporting key clients like Tether and Western Union—both leveraging Solana’s blockchain for its institutional-grade features. The Genius Act has been instrumental in catalyzing regulatory clarity and market confidence. Looking ahead, stablecoins are expected to move tens of trillions of dollars of money supply on-chain, expanding beyond USD to include a diverse array of fiat currencies, revolutionizing FX markets with instant settlement and reduced risk. Regulatory progress and technological innovation will drive significant institutional adoption within the next year, positioning stablecoins as fundamental to the future of global finance.

Key Insights

• Anchorage’s federal banking charter uniquely positions it as a compliant, institutional-grade stablecoin issuer.
• The Genius Act is a turning point for stablecoin regulation and institutional adoption.
• Solana is emerging as the preferred blockchain for institutional stablecoins due to its technical capabilities and ecosystem advocacy.
• Stablecoins are evolving from niche tools to core components of sovereign monetary policy and global FX markets.
• Regulatory clarity and infrastructure development will drive trillions of dollars of stablecoins on-chain in the near future.

Core Concepts

• Stablecoin as a Service (SCaaS): Providing issuance, compliance, and infrastructure enabling institutions to deploy stablecoins.
• Composability: The modularity allowing developers to build applications and financial utilities on blockchain quickly.
• Instant Settlement: Token transfers equate to immediate settlement, reducing counterparty risk and costs in FX markets.
• Regulatory Alignment: Critical for global adoption and interoperability of stablecoins and on-chain currencies.

Introduction to Anchorage and Its Role in Digital Assets

• Anchorage positions itself as a bridge between traditional finance (TradFi) and decentralized finance (DeFi).
• Founded eight years ago, its initial focus was creating a secure custody environment for institutional digital assets.
• Anchorage has since expanded into multiple business lines including trading, staking, and settlements.
• Obtained a federal banking license in the US, making it one of the few crypto-native federally licensed banks.
• Recently, Anchorage has launched Stablecoin as a Service (SCaaS), partnering with prominent stablecoin issuers like:
  • Tether (USDT)
  • Athena (USDTB)
  • Western Union (USDP on Solana)
• Anchorage aims to connect traditional banks and institutions to blockchain, facilitating the movement of dollars on-chain as a foundational rail for business growth and expansion.

Understanding Stablecoin as a Service (SCaaS)

• Stablecoins combine multiple financial functionalities:
  • Payment rail
  • Treasury instrument
  • Payment token
• Regulatory clarity around stablecoins took time but is now improving.
• Stablecoins serve diverse user bases simultaneously:
  • Retail users
  • Small businesses
  • Large asset managers
• Anchorage offers a full institutional-grade platform focused exclusively on institutional clients, enabling:
  • Cross-border and cross-chain settlements
  • Fiat-to-crypto and crypto-to-fiat conversions
• The major challenge for banks is overcoming the friction of “getting on-chain.” Anchorage’s infrastructure is designed to reduce this barrier.

Future Vision: Tens of Trillions Shifted On-Chain

• The next five years will mark a significant shift where broad money supply (M2) currently held in bank deposits transitions onto blockchain, particularly Solana.
• Anchorage foresees tens of trillions of dollars moving on-chain, transforming how dollars and other currencies are held and transacted.
• This evolution requires a robust infrastructure to ensure banks feel comfortable keeping dollars on-chain, reducing friction between fiat systems and blockchain.

Case Study: USDTB and JupUSD on Solana

• Anchorage Digital is currently the only federally regulated stablecoin issuer under a US federal bank charter.
• USDTB will be minted on Solana imminently, offering composable utility—developers can easily build applications and extensions with minimal coding.
• JupUSD, backed by USDTB, leverages Anchorage’s compliance, issuance, and liquidity infrastructure, allowing retail and financial institutions to access stablecoins seamlessly.

Backing of USDTB and JupUSD

• This structure provides a regulated and transparent backing for USDTB and JupUSD, enhancing trust and compliance.

Importance of the Genius Act for Stablecoins

• The Genius Act represents a major regulatory milestone for the US and global USD monetary policy.
• Prior to the Act, Anchorage had to proactively educate and convince institutions to adopt stablecoins; post-Act, the demand surged, with many seeking Anchorage’s expertise to launch stablecoins.
• Tether’s recent launch of US80 stablecoin through Anchorage exemplifies industry confidence in Genius-compliant stablecoins.
• The Act facilitates stablecoins becoming a critical tool for global money movement and financial inclusion.

Western Union’s Stablecoin on Solana: Institutional Adoption

• Western Union selected Solana as the institutional-grade blockchain for its stablecoin (USDP), emphasizing Solana’s suitability for high-volume, regulated financial use cases.
• Solana offers:
  • Programmable privacy
  • Programmable token transfers
  • Institutional-grade infrastructure
• Years of advocacy by Solana Foundation and Anchorage have built the trust necessary for large institutions to build on Solana first.

The Future of Stablecoins Beyond USD

• Stablecoins today are predominantly USD-denominated, but this will evolve.
• Sovereign states require monetary control and cannot fully dollarize their economies, so expect legislation enabling local currency stablecoins.
• Regulators who do not adapt within 6-12 months risk exclusion from the global financial ecosystem.
• Regulatory progress is evident in jurisdictions like:
  • Abu Dhabi Global Market (ADGM)
  • European Union (EU) Central Bank (advanced in stablecoin frameworks)
• Expect a growing market of dozens to hundreds of non-USD stablecoins, creating a mature on-chain FX market soon.

Stablecoins and FX Market Transformation

• Stablecoins enable instant settlement and transfer, which contrasts with traditional FX markets where:
  • Hard currencies have relatively fast settlements via CLS system.
  • Exotic currencies suffer settlement delays of days, leading to high spreads, costs, and counterparty risks.
• On-chain stablecoins eliminate settlement risk, reducing costs and risks, thereby enhancing the utility and power of foreign currencies globally.

What It Takes for On-Chain FX Trading Venues to Succeed

• Success depends on composability — the ability to build new applications and utilities on-chain with minimal coding effort.
• The development environment resembles an early internet moment where innovation will rapidly expand possibilities.
• Entrepreneurs and developers will create diverse solutions, increasing the robustness and attractiveness of on-chain FX markets.

Short-Term Outlook: The Next Six Months

• Regulatory clarity will be a key theme:
  • US Treasury and OCC expected to finalize stablecoin rulemaking.
  • Other global regulators will align and seek reciprocity.
  • Europe may revise positions on stablecoins’ role in the financial system.
• This regulatory clarity will shift the conversation from “if” stablecoins will be adopted institutionally to “when.”
• Institutional adoption is forecasted to accelerate significantly toward the end of the next year, moving from hundreds of billions to trillions in stablecoin market size.

Growth Projections for Solana Stablecoins

• This reflects a massive anticipated expansion of the Solana stablecoin ecosystem within a short timeframe.
  Closing Remarks
• Anchorage’s leadership in stablecoins and institutional infrastructure is pivotal to the evolving blockchain landscape.
• The future of finance is increasingly on-chain, driven by regulatory progress, institutional adoption, and technological innovation.