In brief:
₿- Maple Finance CEO says stablecoins could handle up to $50 trillion in transactions by 2026, as Visa, Mastercard, PayPal, and major banks build settlement rails that allow merchants to bypass costly card fees.
₿- Bitcoin is moving into structured finance, with Powell predicting the rise of Bitcoin-backed mortgages and BTC-secured debt products.
Decentralized finance is not collapsing- it is evolving into the backbone of traditional capital markets. That was the core message from Maple Finance CEO and cofounder Sid Powell, who declared that “DeFi is dead” during a recent interview with CoinDesk, arguing that the distinction between crypto finance and traditional finance is rapidly disappearing.
According to Powell, financial markets are moving toward a future where most capital market activity settles directly on blockchains. In that environment, institutions will no longer label activity as DeFi or traditional finance. Instead, blockchain will simply function as the underlying infrastructure.
Stablecoins take center stage in payments and settlement
Stablecoins are at the heart of this transition. Powell predicts stablecoins could process as much as $50 trillion in transactions by 2026, potentially rivaling or surpassing major card networks. Financial heavyweights are already positioning themselves for that shift.
PayPal has launched its PYUSD stablecoin, Société Générale has issued both euro- and dollar-backed stablecoins, and Fiserv recently introduced FIUSD for payment networks. Meanwhile, Visa and Mastercard are building stablecoin settlement rails, while banks such as Bank of America, Citi, and Wells Fargo have signaled interest in issuing their own stablecoins.
For merchants, the incentive is clear. Stablecoin settlement can significantly reduce payment processing costs compared to the 2% to 3% fees typically charged by card networks, effectively returning lost revenue to small businesses.
Bitcoin expands into on-chain credit markets
Bitcoin also plays a growing role in this new financial structure. Rather than serving only as a speculative asset, BTC is increasingly viewed as premium digital collateral. Powell expects Bitcoin-backed mortgages, crypto-secured loans, and asset-backed securities tied to BTC exposure to become common features of on-chain debt markets.
Bitcoin’s liquidity, transparency, and global accessibility make it suitable for structured financial products that operate on public blockchains, especially as institutions seek alternatives to legacy clearing and settlement systems.
Institutions drive the next phase of crypto adoption
Powell believes sovereign wealth funds, pension managers, insurers, and large asset managers will become the dominant holders of tokenized assets and “on-chain paper.” He compares major stablecoin issuers to insurance giants like Berkshire Hathaway, noting their ability to earn yield on user deposits while paying no interest on liabilities.
With stablecoins and Bitcoin anchoring this transition, Powell estimates the broader DeFi market could grow toward $1 trillion, driven by institutional adoption and the expansion of tokenized assets across global markets.
In Powell’s view, crypto is no longer competing with traditional finance- it is becoming the system it runs on.
Stay informed,
Rodcas Consulting Group