2026: The Dawn of On-Chain Finance
Recently, Yi Lihua, founder of Liquid Capital (formerly LD Capital), stated in a public post that 2026 will mark the dawn of on-chain finance, with stablecoins and Ethereum becoming the most critical infrastructure. He emphasized that this trend will not only reshape the blockchain industry but also have profound implications for traditional finance.
Why Ethereum?
The post explained that WLFI has shifted its BTC holdings to ETH, a strategic decision based on Ethereum's central role in DeFi, stablecoin issuance, and smart contract ecosystems. Compared to Bitcoin, Ethereum offers superior scalability and use cases, making it ideal as the backbone for on-chain finance.
The Future of Stablecoins
Yi also outlined a three-phase growth strategy for USD1:
- Short-term goal: Surpass $10 billion in circulation;
- Mid-term: Reach hundreds of billions;
- Long-term: Capture a trillion-dollar share of the $3 trillion stablecoin market.
Integration with Web2 Giants
He noted that USD1 is collaborating with major Web2 platforms with hundreds of millions of active users. By leveraging the speed, cost efficiency, and cross-border capabilities of stablecoin payments over traditional systems like Visa, it aims to onboard billions of new users to blockchain and stablecoins.
Securing a Core Role in the Future of Finance
Finally, Yi emphasized that USD1 is well-positioned to become a foundational infrastructure player in the coming decades of on-chain finance, thanks to its brand, compliance readiness, B2B capabilities, and user base. This is the core rationale behind the team’s decision to overweight ETH and hold WLFI long-term.