The stablecoin market has continued to expand, with total supply reaching $225 billion as of February 2025, a 63% increase from $138 billion a year earlier.
The surge indicates the growing demand for stablecoins as a bridge between traditional and digital economies, driven by increasing usage in decentralized finance (DeFi) and cross-border payments.
Record Transaction Volumes and Wallet Growth
Active stablecoin wallets also kept rising to 30 million, up from 19.6 million in February 2024—53 year-on-year growth. The increase points to rising adoption of stablecoins for payments, trading, and value storage within the crypto ecosystem.
Transaction volumes also recorded significant growth. The total annual transfer volume reached $35 trillion in 2024, surpassing Visa’s reported $15.7 trillion in payments and Mastercard’s $9 trillion in the fourth quarter of 2024 alone. Monthly transfer volumes rose from $1.9 trillion in February 2024 to $4.1 trillion in February 2025, marking a 115% increase.
Ethereum remains the leading network for stablecoin transactions, processing 55% of total volume. Solana and Base have gained ground, driven by lower fees and faster transaction speeds. Tron continues to dominate in peer-to-peer transfers, particularly in growing markets where banking infrastructure remains limited.
USDT and USDC Hold Ground as New Players Comes to Light
Tether’s USDT remains the largest stablecoin by market cap at $143 billion, though its market share has declined from 69% to 64% as competition intensifies.
Circle’s USD Coin, USDC, strengthened its position, doubling its market cap to $59 billion and increasing its market share to 24.5%. USDC’s success is driven by regulatory clearing under the EU’s Markets in Crypto Assets MiCA regime and increasing usage on platforms like Stripe and MoneyGram.
New stablecoins are also gaining attention. MakerDAO’s recently rebranded USDS also topped $8.5 billion in market cap, boosted by tightened compliance controls and growing institutional adoption in markets. Ethena Labs’ USDe jumped from $146 million to $5.4 billion in market cap, with a 2.9% market share.
Institutional Interest and Regulatory Shifts Reshape the Market
Institutional adoption of stablecoins is increasing. Bank of America, Standard Chartered, PayPal, and Stripe have all entered the stablecoin market, drawn by the potential for faster settlements and reduced transaction costs.
Regulators are also stepping in to address the growing market. The EU’s MiCA framework and licensing agreements in Dubai and Singapore have introduced greater oversight and transparency. The combination of regulatory clarity and institutional participation signals that stablecoins are becoming a key element of the global financial system.
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