- The total stablecoin market capitalization has reached a record $300 billion, growing nearly 47% since the start of the year.
- This growth is seen as a signal that more capital is moving into cryptocurrency networks rather than staying inactive.
- Analysts note that stablecoins are being widely used for payments, settlements, and as a dollar alternative in some countries.
- The increasing stablecoin supply could act as “rocket fuel” for potential rises in cryptocurrency valuations.
- Major companies and financial players are integrating stablecoins into their payment systems, expanding their mainstream use.
On Friday, the total market capitalization of stablecoins surpassed $300 billion, according to recent data reports. This milestone marks a nearly 47% increase since the beginning of the year and reflects rising investor activity in the cryptocurrency sector.
New figures from DeFiLlama show stablecoin supply is at its highest point ever, coinciding with the start of October—a month that has historically performed well for Bitcoin. Andrei Grachev, founding partner at Falcon Finance, stated that stablecoin supply is not idle capital but is being used actively across networks. “Transfer volumes are in the trillions each month. Velocity metrics show constant activity across networks,” Grachev told Cointelegraph. “They are being used—not just held. This is capital at work, not capital on hold.”
Stablecoins—digital assets pegged to the U.S. dollar—are often used for payments, remittances, merchant transactions, and as savings tools. Ricardo Santos, chief technical officer at Mansa Finance, explained that the growing supply signals renewed liquidity, potentially boosting assets like Bitcoin, Ethereum, or other cryptocurrencies. “In this sense, the $300 billion threshold looks like rocket fuel for the next market cycle,” Santos said.
In countries such as Nigeria, Turkey, and Argentina, stablecoins are used as “de facto dollars” for everyday transactions. Global financial companies like VISA have started integrating stablecoins into their systems, further increasing their everyday relevance.
Blockchain data platform Lookonchain reported that during the past month, Circle minted $8 billion worth of USDC stablecoins on the Solana network, with $750 million issued in a single day. Technical analyst Kyle Doops commented that this surge in supply is likely to flow into the wider crypto market soon.
For more data and breakdowns, readers can visit sources such as DeFiLlama.com and Lookonchain.
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