Every month, we’re diving deep into the state of stablecoins. There’s a lot going on here and no single source of truth for people to stay up to date. So we’re sharing the biggest developments and use cases as well as what’s happening onchain – all in one place.
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Top Stablecoin Stats
Total market cap: $310.14B (+4.3%)
Monthly transfer volume: $9.84T (+46.68%)
Monthly active addresses: 40.5M (-8.63%)
Total holders: 223.9M (+3.82%)
USDT: $187.84B (-0.29%)
USDC: $69B (-6.33%)
M: $17.11B (+1,895%)
USDS: $10.36B (-0.37%)
USDe: $6.49B (+1.93%)
The metrics are accurate at the time of publication. The percentage change is over a 30-day period.
What Caught Our Eye
Fidelity plans to launch the Fidelity Digital Dollar (FIDD), a USD-backed stablecoin for its retail and institutional clients. The investment firm is one of the world’s largest asset managers with over $4.5T in assets under management.
Tether has launched USA₮, another dollar-backed stablecoin, issued by Anchorage Digital Bank.
Circle has released a crosschain forwarding service that automates USDC transfers, removing the need for custom infrastructure, and lowering integration costs such as destination gas.
Bitwise launched its first non-custodial onchain vault with Morpho, targeting up to 6% APY on stablecoins through programmatic lending strategies. The offering introduces professional portfolio and risk management to DeFi yield products.
The UAE Central Bank approved USDU, the country’s first USD-backed stablecoin, issued by Universal Digital and backed by local banks.
“[Stablecoins] are real world assets that actually have value, beyond just going up or down in value – having regulations that guarantee that, or at least enforce, it is really important and gives users confidence”
A Chart Worth Checking Out:
The number of stablecoin transfers on Ethereum reached record highs in January, reaching 27.7 million. Daily stablecoin transfer growth indicates increased usage of the asset for actions like payments, trading and settlement. The trend points to increasing onchain liquidity and broader use of stablecoins as a settlement layer.
10 Stablecoin Developments In January
Interactive Brokers, an electronic brokerage, added support for USDC, enabling its clients to fund their brokerage accounts using the stablecoin. The company plans to add support for RLUSD and PYUSD, too
Jupiter has launched jupUSD, a stablecoin on Solana built with Ethena and backed primarily by USDtb. The digital asset can be used across Solana’s DeFi ecosystem, and is meant to unify liquidity across Jupiter products.
Ethena Labs has tapped Kraken for custody of its USDe stablecoin, joining Anchorage Digital Bank, Copper, and Ceffu.
Spark is teaming up with Anchorage Digital to offer its crypto-backed lending products to institutional investors. The company said it has so far lent $150M in USDC, secured by $222M in bitcoin, to three institutional clients.
Polygon Labs acquired Coinme and Sequence to build a regulated stablecoin payments stack, combining U.S. licensed fiat on/off-ramps, enterprise wallets and cross-chain transaction orchestration.
BVNK is partnering with Visa to enable stablecoin-funded payouts and settlements across the credit card issuer’s payments network, Visa Direct. This lets businesses send and receive stablecoins directly to wallets.
Binance plans to convert the SAFU protection fund’s $1B stablecoin holdings into bitcoin.
Toku has launched a payroll system using stablecoins on Polygon that allows companies to pay employees via existing systems like ADP and Workday, helping companies hire internationally and deliver paychecks without having to establish local entities in every market.
Rain raised $250M in a Series C round for its enterprise-grade stablecoin payments platform, bringing its valuation to $1.95B and total funding to over $338 million.
Want to learn more?
The Safest Dollar on the Internet | Circle CEO Jeremy Allaire (Grit Podcast)
How Can Stablecoins Replace Traditional Banking | Bridge CEO Zach Abrams (Epicenter Podcast)
Why Stablecoin Payments Are Finally Going Mainstream | WalletConnect CEO Jess Houlgrave (The Rollup)
This is the State of Stablecoins. January Edition.
This product was built by Token Relations.
This information is for entertainment purposes only. It should not be considered financial advice, nor should it be used to make investment decisions. Cryptocurrencies are high risk and you should consult a financial professional before making any financial decisions. Make sure you do your own research.
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