- Ethereum recorded the largest stablecoin supply growth in August, adding over $17 billion and increasing supply by 13%.
- The total stablecoin market has reached a record $287 billion.
- USDC led growth, expanding its supply by $9.4 billion in August.
- Tron lost 1.3% of its stablecoin supply as Binance moved reserves to Ethereum.
- New stablecoin blockchains from Circle and Stripe are in development, though some experts doubt their long-term impact.
Ethereum increased its dominance in the stablecoin market in August, growing its supply by 13% and outpacing other blockchains, according to data from Artemis. This rise represents over $17 billion in new stablecoins on Ethereum, more than all competitors combined.
The global stablecoin market has now reached a record $287 billion, with industry stakeholders like Coinbase and Keyrock projecting further growth. Coinbase analysts expect the market’s supply to exceed $1 trillion by 2028. Analysts at Keyrock and Bitso predict the same milestone could be achieved by 2030, with stablecoins representing 12% of global cross-border payments.
Three stablecoins are primarily responsible for Ethereum’s growth: USDC by Circle, USDT by Tether, and USDe by Ethena. Data shows that USDC saw the largest gain, adding $9.4 billion to its supply in August and increasing its share within decentralized finance (DeFi) to 58%. During the same month, USDT benefited from Binance’s Plasma Earn campaign, which attracted over $1 billion as users moved funds to earn higher yields.
The use of looping strategies in DeFi, where traders recycle lending collateral to maximize returns, contributed to Ethena’s USDe growth. Outside of Ethereum, only Solana saw stablecoin supply increase by more than $1 billion during August.
Looking forward, competition in the stablecoin space may intensify as companies like Circle and fintech firm Stripe announced plans to develop their own stablecoin blockchains. Some experts, such as Ben Reynolds at BitGo, believe these moves are intended to capture transaction fees. However, Christian Catalini, co-creator of Meta’s Libra project, questioned their viability, stating that private stablecoin blockchains are “doomed to fail.”
For more on stablecoin market data, see:
DefiLlama Stablecoin Market Cap and details on looping strategies here.
Other blockchains, such as Tron, saw declines, with the platform’s supply falling 1.3% after Binance moved reserves to Ethereum, shifting market liquidity.
✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.
Previous Articles:
- Debut of First US Spot XRP ETF Delayed Amid SEC Review
- Gemini Soars 45% in Nasdaq Debut, Raises $425M Despite Losses
- Radix TVL Nears $10M as Rewards and Surge Perpetuals Drive Growth
- Apple Warns French Users of Sophisticated Spyware Attacks Again
- XRP Breaks $3 as Rate Cut Hopes Spark Bullish Crypto Surge
