tl;dr
Electric Capital General Partner Maria Shen highlighted that stablecoins are accelerating the global spread of the US dollar faster than previous financial technologies. Celebrating Ethereum's tenth anniversary, she emphasized Ethereum's role as the financial backbone supporting stablecoin demand. S...
Electric Capital General Partner Maria Shen recently highlighted that stablecoins are accelerating the global spread of the US dollar faster than any previous financial technology. Celebrating Ethereum's tenth birthday, Shen emphasized that Ethereum is evolving into the financial backbone supporting this surge in stablecoin demand.
For the first time, stablecoins enable anyone worldwide to hold US dollars digitally, significantly increasing global demand and consequently benefiting the Ethereum network. Despite discussions around "de-dollarization," the appetite for US dollars remains robust, with stablecoins now surpassing $260 billion in total market capitalization. This growth is especially impactful in emerging markets, where over four billion people and millions of businesses seek dollar access through stablecoins.
However, these new digital dollar holders require more than just payment options; they demand yields, investment avenues, and financial services—needs that traditional banks and finance institutions struggle to meet due to regulatory and infrastructural limitations. Ethereum's unique attributes—global accessibility, institutional-grade security, and resistance to government interference—position it as the prime infrastructure layer to support this new digital dollar economy.
Currently, Ethereum underpins the largest on-chain economy, holding over $140 billion in stablecoins and tokenized real-world assets and $60 billion within decentralized finance (DeFi). This makes Ethereum analogous to how Treasuries and gold function in traditional finance: as a reserve and anchor of trust. As stablecoin use expands, a positive feedback loop will emerge, increasing demand for ETH as collateral, boosting staking activity (which secures the network and decreases supply), and attracting institutional capital due to Ethereum's regulatory clarity and composability.
Shen points out the absence of credible competition: Bitcoin lacks programmability and broad adoption as a financial platform, while alternative blockchains fall short in security, decentralization, and institutional trust. Moreover, incumbent banking systems remain geographically and regulatorily fragmented, unable to meet the vast global demand that stablecoins unlock.
Concluding, Shen reaffirmed her belief in programmable money, marking a transition from their foundational advocacy for Bitcoin to now building the institutional case for Ethereum. This evolution underscores Ethereum’s central role in shaping the future of global finance through stablecoins and decentralized applications.