Analysis of the Development Stages of the Stablecoin Market and Potential Beneficiaries

The development of the stablecoin market is at a critical juncture, with the listing of some leading companies attracting widespread attention to the entire industry. From the frequent holding of various related conferences to active exchanges between companies, and to the enthusiastic discussions within the community, the topic of stablecoins is undoubtedly a hot one. However, behind this bustling scene, we can't help but ask: Who is really profiting at the moment?

By sorting through the development process of stablecoins, we can divide it into three main stages, each with different participants who may benefit from it.

Phase One: License Application

Compliance is the top priority for the development of stablecoins. Currently, many enterprises are applying for relevant licenses in Hong Kong. However, the regulatory requirements in Hong Kong are very strict, and many companies feel confused about how to meet these requirements. At this stage, law firms have become the first beneficiaries. They provide legal consulting services to companies applying for licenses, assist in preparing materials, and communicate with regulatory agencies.

Phase Two: Technical Construction

Compliance and technology development often occur simultaneously. Many companies are building their technical systems while applying for licenses so that they can quickly launch their stablecoin products once they obtain the licenses. The construction of a stablecoin payment system involves multiple complex aspects, including compliance services, asset management, token issuance, liquidity management, and security assurance. This requires covering various areas such as KYB, KYT, AML, order management, address management, clearing and settlement, deposits and withdrawals, smart contract auditing, and on-chain security.

Due to the traditional Web2 companies often lacking blockchain development experience and talent reserves, they need to collaborate with Web3 technology service companies. Therefore, at this stage, cryptocurrency technology service providers have started to gain clients and generate revenue.

Phase Three: Channel Promotion

Once the license is obtained and technical preparations are completed, the company can begin actual business operations. Although most companies are still in the first two phases, once they enter the third phase, the market will face intense competition.

For stablecoins, liquidity is crucial. Various stablecoins need to find suitable application scenarios to expand their usage scale. At this stage, channel promotion becomes particularly important, requiring cooperation with channels that have a large user base. Taking a well-known stablecoin as an example, its rapid rise is largely attributed to the strong support from a major trading platform, which provided the necessary liquidity and brand endorsement.

In this highly competitive stage, various channels, such as exchanges, e-commerce platforms, and cross-border trade companies, will become the biggest beneficiaries.

After going through these three stages, only the stablecoins that stand out can truly start to profit. Referring to the development process of other industries in the country, such as ride-hailing, bike-sharing, and food delivery, we can foresee that the stablecoin market may eventually have a dominant player, becoming the leader in a specific region or language area, gaining a large market share through economies of scale.

For ordinary users, there may also be arbitrage opportunities during the process of emerging stablecoins competing for market and liquidity through subsidies.

Overall, the development of the stablecoin market has brought opportunities for multiple participants. The key lies in how each party finds its position in this rapidly evolving market and seizes its own share of opportunities.