The global stablecoin supply has surged from around $140 billion in early 2024 to approximately $266 billion recently, but ecosystem data suggests that Tether 's (USDT) dominance is waning on EVM networks as USDC and PYUSD accelerate their growth.
Beyond simply providing "liquidation for transactions," stablecoins are increasingly being used as payment infrastructure, cross-border money transfers, and DeFi tools. Simultaneously, the trend toward legal compliance and reserve transparency is significantly shifting the competitive landscape among issuers.
- The supply of stablecoins has surged, but USDT market share on EVM is lower than its global dominance due to a large allocation on off-EVM networks like TRON.
- 30-day data shows USDT slightly declining, while USDC and PYUSD are rising rapidly, reflecting a shift towards compliant issuers.
- Stablecoins are increasingly playing the Vai of a “payment rail,” with the influx of DeFi, DEXs, and bridges demonstrating growing real-world demand.
Stablecoin liquidation is increasing rapidly, but USDT position in the EVM is weakening.
The total supply of stablecoins has increased sharply, while USDT remains the largest by size but is gradually losing its relative advantage in EVM ecosystems due to network distribution and the growth rate of compliant stablecoins.
The total circulating supply of stablecoins increased from approximately $140 billion at the beginning of 2024 to around $266 billion recently. During the same period, Tether (USDT) increased from nearly $110 billion to approximately $193 billion, continuing to hold the position of the largest issuer by supply.
However, looking deeper at the network level, stablecoins on major EVM networks combined reach approximately $190.7 billion. Ethereum leads with $159.9 billion, while Solana and BNB Chain have around $15.4 billion and $14.4 billion respectively within the same "ecosystem" mentioned.
Within this group, USDT accounts for approximately $90.4 billion, equivalent to nearly 47% of the total EVM stablecoin supply. This figure is lower than the global dominance of around 59%, mainly because a significant portion of the USDT supply remains active on networks outside of EVM, most notably TRON.
During periods of market volatility, traders often observe open interest (OI), funding, and perpetual contract liquidation to understand stablecoin hedging demand; Derivative and market insights on BingX can help track this dynamics without relying on inferences beyond published data.
The issuer-specific supply trajectory suggests a pivot toward compliant stablecoins.
Over the past 30 days, the supply of USDT has decreased slightly while USDC and PYUSD have increased significantly, reinforcing the market signal that it is shifting its priorities towards transparent, legally compliant infrastructure.
At the issuer level, supply trends reflect “rotation”. USDT has decreased by 1.02% in 30 days, while USDC has increased by 7.42% and PYUSD by 16.66%.
This development shows that stablecoin competition is no longer based solely on liquidation advantage or exchange coverage. As compliance-oriented issuers scale up, the market is gradually shifting towards a “regulatory-aligned” structure, where reserve transparency, verifiability, and operational standards become decisive factors.
Stablecoins are evolving into a global "payment rail."
Stablecoin activity increasingly reflects the need for payments and value transfer in real life, as the volume of payments, P2P transfers, crypto card spending, and remittances increases, moving beyond purely exchange-based transactions.
The monthly volume of stablecoin payments is projected to reach approximately $10.2 billion by the end of 2025, equivalent to an annualization of over $120 billion, according to the Volume report. Peer-to-peer (P2P) transfers contribute around $19 billion annually, while spending via crypto cards approaches $18 billion.
This segment of card spending is described as having a compound annual growth rate of 106% since 2023, indicating increasing actual adoption. When removing the "noise" associated with the exchange, payment figures suggest that actual payments could reach nearly $390 billion annually, with remittances accounting for approximately $90 billion.
On some networks like Polygon, small transactions are occurring more frequently. This increase in microtransactions could boost the "velocity" of USDC and strengthen the stablecoin's Vai as a transaction infrastructure, rather than just a Capital "park" for speculative capital.
Supply allocation also supports the trend toward real-world payments and usage. Distribution data indicates that centralized exchanges hold approximately $80 billion, equivalent to 26% of the $304 billion supply, while DeFi balances are increasing as yield protocols reach $9.3 billion.
Simultaneously, DEX volume averages approximately $8.23 billion per day. The bridge flow also indicates cross- chain liquidation demand, for example, 91.65 million USDC transferred to Arbitrum in 24 hours.
Clearly, the legal framework is driving a shift by organizations toward transparent issuers.
As the legal framework becomes clearer, institutions tend to prioritize stablecoins with transparent reserves and compliance standards, helping USDC and PYUSD increase their presence even though USDT still leads in terms of size.
USDC reflects this trend, being announced based on $75.5 billion in reserves . The circulating supply of USDC increased by $3.6 billion in 30 days, suggesting institutional investment.
Meanwhile, PayPal USD (PYUSD) reached a market Capital of approximately $4.19 billion, indicating increasing demand for regulated alternatives. Tether remains dominant with $192.88 billion in reserves and approximately 59% market share.
The core shift is the competitive landscape: as global regulations tighten, the advantage shifts toward issuers who combine transparent reserves, compliance, and institutionally-certified infrastructure, rather than simply expanding supply to gain liquidation coverage.
Final summary
USDT remains the largest stablecoin by supply, but its market share on EVM is lower than its global dominance and growth is slower, amid the rapid rise of compliance-oriented stablecoins.
USDC and PYUSD are growing in parallel with the trend of stablecoins being used for payments, DeFi , and cross- chain demand, indicating that the market is shifting from "stablecoins for trading" to "stablecoins as financial infrastructure".
Frequently Asked Questions
Why is USDT market share on EVM only around 47% even though USDT accounts for approximately 59% of the global market?
Because a significant portion of the USDT supply operates on networks outside of EVM, particularly TRON, the share of USDT drops to approximately 47% when considering only EVM networks.
What data from the last 30 days shows how the supply of USDT, USDC , and PYUSD has fluctuated?
USDT has decreased by 1.02% in 30 days, while USDC has increased by 7.42% and PYUSD by 16.66%, according to data linked on a stablecoin supply tracking page.
To what scale are stablecoins being used for payments?
The monthly volume of stablecoin payments is expected to reach approximately $10.2 billion by the end of 2025 (annualized to over $120 billion). When exchange-related noise is removed, actual payments are estimated at nearly $390 billion annually, with remittances accounting for around $90 billion.
What indicators suggest that stablecoins are becoming more closely tied to DeFi and cross chain demand?
Centralized exchanges hold approximately $80 billion (26% of $304 billion), DeFi reached $9.3 billion in yield protocols, DEXs Medium $8.23 billion per day, and there were notable bridge flows such as $91.65 million USDC to Arbitrum in 24 hours.
