Bitcoin News Today: Lightning Network to Handle $9B in Stablecoin Volume by 2028 Driven by 5% Global Share

Generated by AI AgentCoin World
Friday, Jul 25, 2025 1:31 am ET2min read
Aime RobotAime Summary

- Bitcoin's Lightning Network is projected to handle $9B in stablecoin transactions annually by 2028, capturing 5% of global stablecoin volume through instant, low-cost payments.

- Integration of USDT/USDC on Lightning and U.S. regulatory clarity via the 2025 GENIUS Act are accelerating adoption, supported by institutional interest and Cash App's 25% Lightning-based Bitcoin payments.

- While challenges like centralized competition persist, Voltage CEO Graham Krizek forecasts 5% global stablecoin volume on Lightning within three years, driven by scalability and growing merchant/developer ecosystems.

Bitcoin’s Lightning Network, a second-layer payment protocol designed to enhance Bitcoin’s scalability, is poised to capture a significant share of stablecoin transaction volume by 2028. Industry leaders project that the network could handle up to $9 billion in stablecoin transactions annually, representing at least 5% of global stablecoin volume, driven by its capacity for instant, low-cost payments [1]. This growth is supported by the integration of major stablecoins like Tether’s

USDT
and Circle’s
USDC
on the Lightning Network, which addresses scalability challenges inherent to on-chain
Bitcoin
transactions [2].

The adoption of Lightning-based stablecoin transfers is accelerating, with Tether announcing native USDT support on the network in early 2025. This development has been hailed as a pivotal step toward mainstream adoption, enabling users to transact stablecoins with the same efficiency as Bitcoin.

Graham
Krizek, CEO of Voltage, a key infrastructure provider, forecasts that Lightning’s scalability and efficiency will drive both retail and institutional adoption, with at least 5% of global stablecoin volume expected on the network within three years [3].

Regulatory clarity in the U.S. is further bolstering confidence. The passage of the GENIUS Act in July 2025 has provided a legal framework for stablecoin operations, reducing uncertainty for market participants [4]. This regulatory progress aligns with broader market expectations for the stablecoin sector, which is projected to grow substantially in the coming years. While the Lightning Network’s current capacity stands at around $448 million in Bitcoin (equivalent to 3,820 BTC), network metrics suggest a trend toward fewer but larger channels, optimizing capital efficiency and performance [5].

The network’s expanding utility is also attracting institutional interest. Traditional financial entities are exploring Lightning’s potential to mitigate counterparty risks and improve liquidity management. Cash App’s integration of Lightning, which now processes 25% of its Bitcoin payments through the network, demonstrates real-world benefits in terms of speed and cost reduction [6]. Meanwhile, companies like Voltage are supporting wallet developers in integrating stablecoin functionality, facilitating a growing user base of over 700 million indirect users via exchanges and payment platforms [7].

Despite these advancements, challenges remain. Critics note that competition from centralized stablecoin platforms and regulatory scrutiny could slow adoption. However, proponents highlight Lightning’s open-source nature and growing ecosystem of merchants and developers as long-term advantages. For instance, Lightning Labs’ Taproot Assets v0.6 release aims to establish the network as a decentralized forex platform, enabling seamless stablecoin transfers on Bitcoin [8].

The broader cryptocurrency market’s trajectory also influences Lightning’s potential. While forecasts for stablecoin volume remain speculative, the convergence of technological, regulatory, and market factors suggests a growing ecosystem for decentralized payments. As stablecoins increasingly serve as a bridge between fiat and digital assets, their compatibility with decentralized networks like Lightning becomes critical [9].

Sources:

[1] [Lightning Network 5% Stablecoin Volume] (https://cointelegraph.com/news/lightning-network-5-percent-stablecoin-volume-voltage-ceo)

[2] [Stablecoin Surge on Lightning Network] (https://en.coinotag.com/bitcoins-lightning-network-may-see-billions-in-stablecoin-volume-as-adoption-grows-by-2028/)

[3] [Voltage CEO Graham Krizek’s Forecast] (https://en.coinotag.com/bitcoins-lightning-network-may-see-billions-in-stablecoin-volume-as-adoption-grows-by-2028/)

[4] [GENIUS Act Regulatory Clarity] (https://www.bitget.site/price/altcoin-season-index)

[5] [Lightning Network Capacity Trends] (https://en.coinotag.com/bitcoins-lightning-network-may-see-billions-in-stablecoin-volume-as-adoption-grows-by-2028/)

[6] [Cash App Lightning Integration] (https://en.coinotag.com/bitcoins-lightning-network-may-see-billions-in-stablecoin-volume-as-adoption-grows-by-2028/)

[7] [Voltage’s User Base Expansion] (https://en.coinotag.com/bitcoins-lightning-network-may-see-billions-in-stablecoin-volume-as-adoption-grows-by-2028/)

[8] [Lightning Labs’ Taproot Assets] (https://en.coinotag.com/bitcoins-lightning-network-may-see-billions-in-stablecoin-volume-as-adoption-grows-by-2028/)

[9] [Stablecoin as Bridge to Digital Assets] (https://en.coinotag.com/bitcoins-lightning-network-may-see-billions-in-stablecoin-volume-as-adoption-grows-by-2028/)