A new stablecoin has emerged among the top ten U.S. dollar-pegged tokens. Known as USDB, this auto-rebasing stablecoin was developed by the Blast team. Despite the stablecoin economy being underwhelming over the past 30 days, USDB has quietly secured the ninth-largest market capitalization among all U.S. dollar stablecoins. USDB Climbs the Ranks The decentralized finance […]
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Top Stablecoins See Steady Decline Over Past Month as Dollar-Pegged Token Economy Shrinks
The top stablecoins have continued to see redemptions over the past 30 days as the dollar-pegged crypto economy currently hovers at 7.32 billion on July 12. The stablecoin BUSD’s supply has dropped below the 4 billion mark as the token’s number of coins in circulation has fallen 16.7% over the last month.
Dollar-Pegged Cryptos Feel the Pinch as Supplies Shrink Steadily
During the past ten days, the stablecoin economy shrank by 0 million after dropping from 8.21 billion to today’s 7.32 billion. Statistics show that the net value of the top dollar-pegged market capitalizations shrunk a great deal since the start of 2023.
On March 26, 2023, the stablecoin economy was worth 5.08 billion, which means .76 billion has been removed from the dollar-pegged token economy over the past 108 days.
30-day statistics paint a similar story as four out of the top five stablecoins saw redemptions shrink their supplies. Tether (USDT) saw a slight drop of 0.3%, while usd coin’s (USDC) supply was reduced by 3.9%.
Makerdao’s DAI saw a 5.6% reduction last month and BUSD’s supply dropped by 16.7%. Trueusd’s (TUSD) supply is still up 41.7% for the month but it has dropped under the 3 billion range to 2.88 billion tokens. Over the past 24 hours, the stablecoin economy recorded .42 billion in global trade volume.
With BUSD’s supply dropping 16.7%, the supply is now under the 4 billion range with an approximate supply of 3,997,265,401 at the time of writing. Current data shows that Binance holds 3,623,828,575 BUSD in six different wallets.
Furthermore, out of the 2.88 billion TUSD tokens circulating today, 2.45 billion TUSD is also held by Binance. This means 90.65% of the BUSD tokens today are held by the world’s largest exchange and 85.06% of the TUSD supply is controlled by Binance.
With major stablecoins like BUSD and DAI seeing significant supply reductions recently, how long do you think this downward trend will continue? Share your thoughts and opinions about this subject in the comments section below.
Tether Stablecoin Sees 22% Growth in 2023 Despite Dollar-Pegged Token Economy’s Contraction
Since January 2023, the number of tether stablecoins in circulation has grown from 66 billion to the current 80.9 billion, representing growth of more than 22% this year. Tether’s growth is approaching the high of billion in stablecoins in circulation that the project saw almost a year ago, in May 2022.
Tether Supply Is Nearing Its All-Time High
The stablecoin market has recently contracted and is currently hovering around 1.94 billion. The decrease in the stablecoin market can be attributed to several dollar-pegged coins that have reduced their token supplies. In the last month, usd coin (USDC) has decreased its supply by 12.6%, while binance usd (BUSD) has seen an 18.9% reduction in supply. Additionally, Makerdao’s DAI has experienced a 9.8% decrease in supply, and Tron’s USDD supply has decreased by 1.3% in the past month.
Tether (USDT), on the other hand, has increased its supply by more than 22% this year, rising from 66 billion tethers in January to the current 80.93 billion. Roughly 6.3% of USDT’s growth was recorded during the past 30 days alone, according to statistics. Tether’s market capitalization is the third-largest in the cryptocurrency economy, accounting for 6.213% of the .2 trillion in value. Moreover, tether accounts for billion of the current .2 billion in 24-hour global trades as of Monday, April 17, 2023.
With a 24-hour trade volume of around billion, tether trades account for 55.56% of every trade settled during the last day in the crypto economy. Tether’s market capitalization was around billion on April 17 after briefly reaching billion. The last time Tether’s market valuation was this high was in May 2022, when USDT’s market valuation exceeded billion. The lowest drop in valuation after that point in time was billion in November 2022.
According to data from coincarp.com, the ERC20 version of tether built on top of Ethereum has 4,266,498 unique holders, and 37.3% of it is controlled by the top 100 wallets. The tether minted on Arbitrum has 276,383 unique holders, and 10 wallets hold 49.15%. The tether minted on Solana, however, is a different story, with 480,388 holders, and the top ten wallets only hold 2.16%. Tether is also issued on several other blockchains including Polygon, Tron, and others, but the majority is stored on the Ethereum chain.
What do you think the future holds for tether and stablecoins in general, given the recent market contraction? Share your thoughts in the comments section below.
Stablecoin Supply Plummets After Depegging Event: $7.4B Dollar-Pegged Tokens Withdrawn From Circulation
During the past 11 days, over 7 billion USDC stablecoins have been withdrawn from circulation, with most of the redemptions occurring following the depegging event of USDC on March 11, 2023. Furthermore, since March 6, a total of 439.48 million BUSD stablecoins have been redeemed.
Stablecoin Depegging Event Triggers Billions in Redemptions
The stablecoin landscape has undergone significant changes this month after a stablecoin depegging event took place on March 11. During this time, USDC dropped to a low of .877 per coin, and half a dozen other stablecoins also depegged from the U.S. dollar value on the same day. However, USDC and the other stablecoins have since been re-pegged, and Circle’s stablecoin is trading at on various centralized trading platforms on Friday. On March 6, approximately 43.89 billion USDC were in circulation, and as of 11 days later, 7,089,389,744 USDC have been redeemed.
As of March 17, 2023, metrics show that over the past 30 days, the number of USDC in circulation has decreased by 10.2%. According to coingecko.com’s stablecoin market data, there are currently approximately 36.80 billion USDC stablecoins in circulation. During the depegging event, USDC had double the volume recorded today, which is ,328,716,602 in global USDC trade volume over the past 24 hours. Over the past day, BUSD’s 24-hour trade volume surpassed USDC, which has the third-largest stablecoin trade volume.
On Friday afternoon (ET), data showed that BUSD had a 24-hour global trade volume of ,289,546,285 across various exchanges. An archive.org snapshot from 11 days ago, on March 6, indicates that 439,484,014 BUSD had been redeemed. At that time, approximately 8,689,408,012 BUSD were in circulation, while today the number has dropped to 8,249,923,998. According to Nansen’s proof-of-reserve data, Binance holds 7.42 billion BUSD. Coingecko.com’s stablecoin market data shows that over the past 30 days, the number of BUSD in circulation has decreased by 46.3%.
While 7.528 billion USDC and BUSD have been removed from the stablecoin economy, tether (USDT), the largest stablecoin by market capitalization, has seen an 8.7% increase in the number of coins in circulation. Tether now has an overall market valuation of approximately .29 billion, with 75.17 billion USDT in circulation. Furthermore, on Friday, tether’s .38 billion in global trade volume outshined every other coin in the entire crypto economy in terms of 24-hour settled trades. BUSD and USDC hold the second and third-largest stablecoin volumes, respectively.
What do you think the future holds for stablecoins after the recent depegging event? Will they regain their stability, or will their value continue to fluctuate? Share your thoughts in the comments below.
Now Theres a Canadian Dollar-Pegged Stablecoin on the Way
Toronto-based cryptocurrency exchange Coinsquare is launching a stablecoinpegged 11 to the Canadian dollar.
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