Stablecoin on-chain transparency could drive greater regulatory adoption of blockchain technology. By providing real-time, immutable transaction records, stablecoins enable regulators to monitor fund flows, combat money laundering, and ensure compliance more effectively than traditional systems. This transparency reduces opacity, fostering trust among oversight bodies. For instance, regulators can verify reserve backing and audit transactions without intermediaries, streamlining processes. As stablecoins gain traction, their auditable nature may encourage regulators to integrate blockchain into broader financial systems, promoting efficiency and accountability. However, concerns over privacy and scalability must be addressed to balance transparency with user protection. If regulators see stablecoins as a model for reliable oversight, blockchain adoption could accelerate, reshaping regulatory frameworks globally.