The stablecoin market is projected to grow tenfold in size over the next few years, as per Treasury Secretary Scott Bessent. By 2030, he's expecting the stablecoin market to be $3 trillion in size, up from its current size of roughly $300 billion.
But how, exactly, can you make money from stablecoins, given that they always trade for $1? Here are two possible answers to that question.
Stablecoin issuers
One answer is to invest in the issuers of these stablecoins, such as Circle Internet Group (CRCL +3.25%), which went public via a highly anticipated initial public offering (IPO) last summer. Circle is the issuer of the USDC (USDC +0.00%) stablecoin, which currently has a market cap of $77 billion, making it the second largest in the world. By investing in Circle, you are getting direct exposure to the future potential upside of USDC.
NYSE: CRCL
Key Data Points
For the year, Circle is up 12%, making it one of the few bright spots in the crypto market. By way of comparison, Bitcoin (BTC 0.95%) is down 20% for the year, and more speculative altcoins are down 30% or more.
Of course, there are plenty of other stablecoin issuers out there. The latest Motley Fool stablecoin research, which ranks the top stablecoins by market cap, highlights 10 different stablecoins with market caps of $1.25 billion or higher.
One of my favorite investment opportunities here is fintech giant PayPal (PYPL +0.19%). Many people may not realize that PayPal issued a stablecoin in August 2023. Nearly three years after launch, PayPal USD (PYUSD 0.01%) now ranks as the sixth-largest stablecoin in the world, according to Motley Fool research.
Stablecoin blockchains
Another possible option is investing in Layer 1 blockchains focused solely on stablecoin transactions, such as Stable (STABLE +6.65%). Unlike other Layer 1 blockchains such as Ethereum (ETH +0.73%), Stable does one thing and one thing only: It facilitates transactions using Tether (USDT +0.00%), the top stablecoin in the world with a $184 billion market cap. That makes Stable much more of a pure play on the future of stablecoins.
In 2026, Stable is up a head-turning 80% and now ranks among the top 100 cryptocurrencies in the world by market cap. That's proof-positive that investors can turn a tidy profit on stablecoins even if stablecoins always trade for $1.
Image source: Getty Images.
On that note, another intriguing option is Sky (SKY +7.05%), which is up 30% this year. Sky is the new name of the cryptocurrency formerly known as MakerDAO. The stablecoin for the Sky blockchain ecosystem is USDS (USDS 0.01%), formerly known as Dai (DAI +0.03%).
It can be confusing trying to make sense of the new names and the new branding, but here's the big takeaway: Sky is transforming itself into a blockchain ecosystem for stablecoins, with plenty of new opportunities for investors to earn yield on their stablecoin investments. According to the latest Motley Fool research report, USDS/DAI ranks as the fourth-largest stablecoin in the world.
But just how stable are stablecoins?
Just remember: Even though the word "stable" is in the name, stablecoins aren't necessarily stable. The International Monetary Fund (IMF), for example, just warned that stablecoins could amplify financial crises by feeding through shocks from the crypto market into the traditional financial markets.
So before you invest in stocks like Circle or cryptocurrencies like Stable, make sure you do your due diligence. The good news is that, if growth in the stablecoin industry continues at its current pace, these two stablecoin investments could soar in value in 2026.
