Stablecoins are enjoying a surge in adoption and investor confidence, with their total market capitalization reaching a record $243.8 billion this week. The asset class has added over $38 billion in value since the start of the year, according to data compiled from multiple sources including Visa.
Tether Leads with Dominant Share
Tether (USDT) remains the undisputed leader in the stablecoin sector, with a market cap exceeding $151 billion, accounting for a 62% market dominance. This growth reinforces Tether’s standing as the most widely used and held stablecoin in the global crypto economy.
USD Coin (USDC) holds second place with $60.4 billion in assets, while Ethena’s USDe continues to grow rapidly, now managing close to $5 billion in assets.
Trump-Linked USD1 Stablecoin Gains Momentum
A newcomer to the market, USD1 launched by former President Donald Trump’s World Liberty Financial has already crossed $2.1 billion in assets under management. Much of its capital inflow is believed to stem from MGX’s $2 billion investment in Binance, the world’s largest cryptocurrency exchange.
Other notable stablecoins include:
- Ripple USD (RLUSD) – $900 million
- PayPal’s PYUSD – $313 million
Daily Usage Grows: Over 250M Active Addresses
According to Visa’s latest stablecoin usage data, more people are now using stablecoins for everyday transactions:
- 192.2 million unique senders
- 242.7 million recipients
- 250 million total active addresses in the past 12 months
These figures contributed to 5.8 billion transactions and a staggering $33.6 trillion in transaction volume over the year solidifying stablecoins’ role in everyday financial activity.
Why Stablecoins Are Booming
The growing popularity of stablecoins is tied to their:
- Lower transaction costs compared to traditional finance (e.g., PayPal charges ~2.99% on transfers)
- Faster settlement times versus wire transfers or cross-border payments
- High accessibility and 24/7 operability through decentralized networks
These benefits have made stablecoins increasingly useful for remittances, international business, DeFi trading, and on-chain commerce.
Forecast: Trillion-Dollar Future Ahead
According to projections from major institutions:
- Citibank expects the stablecoin market to exceed $1.6 trillion by 2030
- Standard Chartered estimates the figure will hit $2 trillion as early as 2028
These forecasts reflect growing institutional belief in the role of stablecoins in reshaping digital payments, asset transfers, and global
With rising adoption, robust transaction growth, and backing from financial giants, stablecoins are quickly becoming a foundational layer of the digital economy. As Tether and USDC solidify their positions and newcomers like USD1 gain momentum, the sector appears poised for continued growth and deeper integration into mainstream finance.
