Reshaping of the Stablecoin Market: Surge in USDC Share, USDe Emerges Strong

Stablecoins are transforming the global financial landscape at an astonishing pace. According to the recently released "2025 Stablecoin Status" report, the stablecoin market has shown significant growth over the past year, with accelerated institutional adoption, a rapid rise of decentralized stablecoins, and a continuous increase in on-chain trading activity.

Market Size and Growth Trends

By February 2025, the supply of stablecoins had surged to $214 billion, with an annual transaction volume reaching $35 trillion, more than double the annual transaction volume of Visa. Market activity has also increased, with the number of active addresses on the blockchain growing by 53%, surpassing 30 million. A large influx of institutional funds is driving the accelerated integration of traditional finance and the crypto market.

Changes in Market Position of USDC and USDT

Driven by the compliance process and market strategies, USDC and USDT continue to dominate the market, but there has been a subtle change in their market shares.

• The market value of USDC doubled to $56 billion, mainly due to regulatory approvals, important strategic partnerships, and rapid global market expansion.
• The total market capitalization of USDT has risen to 146 billion USD, maintaining its position as the largest stablecoin by market cap, although its market share has declined. Its focus is gradually shifting towards the P2P remittance market, consolidating its position in the global payment sector.

The Rise of Decentralized Stablecoins

In the decentralized finance ecosystem, the influence of decentralized stablecoins has significantly increased, with several emerging projects achieving breakthrough growth.

• The market capitalization of USDe surged from $146 million to $6.2 billion, becoming the third largest stablecoin in the market, with its innovative yield strategy and hedging mechanism being the key to its growth.
• The market capitalization of USDS reached 2.6 billion USD in February 2025, and this adjustment has enhanced its competitiveness in the decentralized stablecoin market.

Capital Flow and Industry Distribution

The liquidity trend of stablecoins reflects the positioning and competitiveness of different public chains in the market:

• Ethereum remains the primary issuance platform for stablecoins, accounting for 55% of the supply share.
• Base and Solana have experienced rapid growth in trading volume and have become important on-chain ecosystems for stablecoin capital flow.
• TRON continues to hold a central position in the global P2P payment and cross-border remittance market, especially in emerging markets.

Most stablecoin liquidity is primarily concentrated in centralized exchanges, with trading volume mainly driven by DeFi (DEX, lending, yield farming), reflecting the efficient flow of funds and innovation.

Core Functions and Future Development

Stablecoins have become a key infrastructure in the cryptocurrency market, while also driving innovation in the traditional financial sector. Industry experts are optimistic about the future development of stablecoins:

A general partner of an investment institution stated: "Stablecoins are the lifeline of the crypto market and a superconductor of the financial system. They open up new markets and financial opportunities, driving innovations that were previously difficult to reach."

A product manager of a certain blockchain platform pointed out: "The advantages of stablecoins in cross-border payments are significant. We hope to support more local currency stablecoins, allowing global users to trade on-chain using familiar currencies, thereby increasing the adoption of blockchain technology."

The head of a stablecoin project emphasized: "The next generation of stablecoins must possess market resilience. Our core is a yield-supported stability mechanism, ensuring users receive a reliable USD alternative."

A data analysis expert believes: "The flow of stablecoins depends on the quality of the infrastructure—low cost, fast transactions, and market demand. On certain public chains, the trading of Meme coins has a very high demand for liquidity and instant settlement, making stablecoins an indispensable part."

A spokesperson for a certain public chain community stated: "We have become the preferred blockchain for stablecoin trading, with daily trading volumes reaching billions of dollars. Stablecoins have driven real economic activities in our ecosystem, especially in emerging markets, where they have become key tools for payment and savings."