The overall on-chain stablecoin transaction quantity surged to a brand new all-time excessive of $1.5 trillion in July, marking a major milestone within the sector.
In line with Sentora’s (previously IntoTheBlock) knowledge, this determine represents a pointy enhance from the $1.26 trillion processed in June and surpasses the earlier excessive seen in August 2024, when volumes topped $1.4 trillion.
In the meantime, a more in-depth take a look at the July numbers revealed that Circle’s USDC dominated the stablecoin market, accounting for practically 50% of the full quantity. USDC transactions reached roughly $748 billion in July.
In the meantime, Tether’s USDT, the biggest stablecoin by circulating provide, adopted with a quantity of $420 billion. The decentralized DAI stablecoin secured the third spot with $261 billion in transactions.
Why stablecoin quantity rose in July
The exceptional enhance in stablecoins’ on-chain quantity might be attributed to a number of components, together with Bitcoin and Ethereum’s file performances in July.
Final month, Bitcoin worth rose to a brand new all-time excessive of over $123,000 whereas ETH’s worth additionally approached the $4000 threshold.
The value efficiency of those property sparked important on-chain exercise from traders, who invested their earnings in non-volatile digital property like USDT and USDC.
As well as, the stablecoin trade noticed the approval of its first main invoice within the US, which helped clear the regulatory uncertainty within the sector.
The GENIUS Act, signed into legislation on July 19, established clear tips for stablecoins and digital asset-backed monetary merchandise. The brand new laws embody reserve necessities and oversight by the Federal Reserve, that are prone to foster better belief and stability within the sector.
Because of this, outstanding monetary establishments like JPMorgan and different high international corporations like Meta have been exploring using stablecoins for cross-border transactions and different monetary companies, which additional legitimizes the market.
With this clearer regulatory backdrop and surging adoption, stablecoin market capitalization has climbed previous $278 billion, based on CryptoSlate’s knowledge.
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