Billionaire investor Stanley Druckenmiller said stablecoins could support global payment systems over the next decade or two, while reiterating his long-held skepticism of much of the broader cryptocurrency market.
“My guess is that all of our payment systems will be stablecoins in 10 or 15 years,” he said in an interview published Thursday by Morgan Stanley. Tokens tied to fiat currency are “efficient, faster and cheaper” than traditional payment infrastructure, he said. “Blockchain and the use of stablecoins are incredibly useful in terms of productivity.”
Stablecoins such as Tether’s USDT and Circle Internet’s USDC (CRCL) are cryptocurrencies designed to maintain a fixed value, often pegged to a fiat currency, most commonly the US dollar, and are widely used in digital asset markets for trading, payments and transfers.
Drukenmiller’s views align with recent statements from Australian investment bank Macquarie, which said tokens are already reshaping payments and banking. He noted that they are evolving from a niche crypto trading tool to a potential layer of global financial infrastructure.
However, when it comes to other coins, the veteran investor reiterated a criticism he has been making for years towards the broader crypto sector.
“I said it a long time ago, and I’ll say it again: It’s a solution in search of a problem.”
The sustainability of Bitcoin
Despite his skepticism of much of the cryptocurrency ecosystem, Druckenmiller has already acknowledged that bitcoin has established itself as a store of value.
“I’m actually disappointed that it became a store of value because it wasn’t originally needed for that,” Druckenmiller said in the Morgan Stanley interview. “But it’s become a brand and people love it. So it will probably be a store of value.”
Druckenmiller questioned how long the U.S. dollar would maintain its status as the world’s reserve currency. This is not a new position. In 2021, he said the dollar was losing its reputation globally and, at the time, suggested crypto could replace it.
“We’re doing everything we can to destroy it. But I’m 72 years old, it will probably outlive me.”
“I doubt it will be the reserve currency in 50 years, but I have no idea what it would be. Maybe a cryptocurrency I hate.”
