A recent analysis from the Federal Reserve Bank of Kansas City has provided what it claims is a more realistic assessment of stablecoins’ actual role in today’s financial ecosystem. Somewhat far from the innovative payment tool many promoters have claimed over the years, stablecoins remain anchored in the cryptocurrency sector, serving purposes that have little to do with everyday transactions. However, this report might now be significantly understating the evolving role of stablecoins in everyday payments, given that 2026 has seen large payment processors make key announcements supporting these technologies.

Nevertheless, the research report pointed out that roughly half or 49 percent of all stablecoin supply functions as…