Stablecoin market value surpasses $270 billion with USDC taking the lead on Ethereum, surpassing USDT.
In the ever-evolving world of cryptocurrencies, stablecoins have been making significant strides, with USD1, USDT, and USDC leading the charge. Among these, USDT and USDC have been particularly notable for their growth and dominance on various blockchain platforms.
USDT, despite being small compared to USDT and USDC, has been experiencing steady growth in market cap and transactions. This growth is particularly evident on the Tron network, where USDT has recorded a surge in transaction volume. The key factors contributing to this dominance include market penetration, trading volume, and ecosystem alignment. USDT's widespread use across various blockchains, longer history of adoption, and compatibility with cross-chain transactions make it a popular choice for trading-heavy environments like Tron, where lower transaction fees and faster processing times are advantageous for traders.
On the other hand, USDC has found a strong foothold on Ethereum. Its dominance can be attributed to regulatory compliance, DeFi adoption, and market preference. USDC is issued by Circle, a U.S.-based company, which is more compliant with regulatory standards. This makes it a preferred choice for institutions and applications requiring higher auditability and transparency. USDC is also widely used in DeFi applications, which are more prevalent on Ethereum, aligning well with the needs of DeFi protocols that often require stable and auditable assets. Moreover, Ethereum's user base and developers often prefer assets that are more compliant with regulatory standards, which can explain the preference for USDC over USDT on this network.
USDC leads in stablecoin value on Ethereum, while DAI holds a solid third place in stablecoin transfers. Interestingly, USD1, with its fully regulated structure, could potentially carve out a niche in the market for those seeking an alternative.
The rise in USDT activity on TRON indicates heavy retail participation. The surge in USDT-TRC20 deposits is primarily driven by Binance, with Bybit and HTX also contributing significantly. The daily deposits of USDT-TRC20 are accelerating on TRON, and USDT transaction volume on TRON has reached a high of over 1 million transactions in seven days, as per Arab Chain's CryptoQuant data.
Stablecoins, in general, are rapidly diversifying, with their combined value reaching a record $271.1 billion. USDC processes over $20 billion in daily transfers on average, and USDT's activity has shifted to Tron and Binance Smart Chain (BSC). For the first time since the GENIUS Act took effect, a new stablecoin, USD1, was minted on the 6th of August, worth $23 million.
From 2018 to 2025, ERC20 stablecoin transfers totaled $39.7 trillion. In early 2025, USDC pulled ahead decisively in ERC20 stablecoin transfers. As the stablecoin market continues to grow and evolve, it will be interesting to see how these trends develop and which stablecoins continue to dominate on different platforms.
[1] Source: CoinGecko [2] Source: CryptoQuant
- USDT, although smaller than USDT and USDC, has observed a growth spurt on the Tron exchange, specifically in transaction volume, the key drivers being market penetration, trading volume, and ecosystem alignment.
- USDC has gained significant traction on the Ethereum exchange, largely due to regulatory compliance, DeFi adoption, and market preference, making it a popular choice for institutions and applications needing higher auditability and transparency.
- Stablecoins, inclusive of USDC, USDT, and others, exhibit a swift diversification, amassing a combined value of $271.1 billion, with USDC processing over $20 billion in daily transfers on average and USDT's activity migrating to Tron and Binance Smart Chain (BSC).
- In the ongoing evolution of stablecoins, it will be intriguing to witness how trends unfold and which coins maintain their dominance on various platforms, with USDC leading on Ethereum and USDT on Tron. [Source: CoinGecko, CryptoQuant]
