- Stablecoin inflows to exchanges nearly doubled, showing investors are keeping cash ready to buy despite ongoing crypto sell-offs.
- European banks, including BBVA and BNP Paribas, are building a euro stablecoin to speed up payments under clear regulations.
- U.S. Senator Cynthia Lummis wants banks to adopt stablecoins, but worries remain about deposits leaving traditional accounts.
Investor activity in stablecoins has jumped, signaling renewed confidence in crypto markets amid persistent selling. According to CryptoQuant analyst Darkfost, weekly stablecoin inflows to exchanges have doubled, rising from $51 billion in late December 2025 to $98 billion today.
This surge will cause the investments to surpass the 90-day average of $89 billion. This happens as Bitcoin tries to avoid a potential 50% correction from its all-time high in October. These individuals, therefore, seek investment avenues with safe havens, despite the volatility.
Darkfost noted, “This dynamic still needs to strengthen, but some participants are already buying this dip.” The move highlights a cautious but clear return of capital deployment. However, selling pressure remains strong and is yet to be fully absorbed. Consequently, while inflows signal growing interest, the market requires sustained support for a more significant recovery.
European Banks Launch Euro-Pegged Stablecoin
In parallel, European financial institutions are embracing stablecoins as mainstream solutions. BBVA joined a consortium of eleven banks, forming Qivalis to develop a euro-pegged stablecoin. The initiative aims to enable faster, cheaper payments and digital asset settlements within a regulated framework.
Qivalis will operate on the MiCA regime and awaits the authorization of the Dutch central bank. In addition to BBVA, other members are BNP Paribas, CaixaBank, Ing Group, UniCredit, and others. It is set to be launched in the second half of 2026.
The consortium’s plan emphasizes security, governance, and customer protection. Additionally, this stablecoin could allow banks to offer simultaneous exchanges between digital assets and euros. Hence, traditional institutions are now positioning themselves to compete with decentralized finance offerings.
Political Push Supports Stablecoin Adoption
Meanwhile, U.S. Senator Cynthia Lummis (R-WY) urges banks to adopt stablecoins as a new financial product. She stated, “I’d like to see the banks embrace this rather than resist it.” Lummis argues stablecoins offer fresh business opportunities and can integrate into mainstream banking.
However, negotiations over the market structure bill remain stalled. Banks warn that stablecoin rewards may trigger deposit flight from traditional accounts, particularly in smaller community banks.
