0
0
Cryptocurrencies: 12,866
Markets: 940
Marketcap: $ 2.05 T(0.79%)
24h Vol: $ 87.19 B
BTC Dominance: 48.87%

Stablecoin Dominance Shifts Away From Ethereum to TRON

The stablecoin market has seen significant changes in 2022, with Ethereum’s stablecoin value declining while TRON’s has increased, according to recent data. Stablecoin supplies have also undergone shifts as the overall market continues to contract from its peak earlier this year.

Declining Ethereum Stablecoin Value

Ethereum’s stablecoin value has fallen 34% this year, dropping from $100 billion to $66 billion. This decline contrasts with 57.7% growth for stablecoins on the TRON network, increasing from $31 billion to $48.9 billion.

Overall, the total market value of all stablecoins has dropped 31% from its $188 billion peak to $129.5 billion currently.

Market Share of Major Stablecoins

Tether (USDT) continues to dominate with a 56.3% market share, followed by USD Coin (USDC) at 30.5% and DAI at 5.07%. Combined, these three stablecoins account for over 90% of the total stablecoin market.

Stablecoin Holdings

Externally owned accounts hold about 50% of stablecoins, while centralized exchanges account for 30%. DeFi protocols now hold only 5.5% compared to around 25% in January 2022. Most Ethereum stablecoin holders (94.2%) have under $1,000 worth, while addresses with over $100,000 worth control 87.6% of total stablecoins.

Outlook

After the Terra collapse in May, stablecoin supplies have started growing again. Stablecoins play a crucial role in funding cryptocurrency purchases and powering DeFi applications. According to Tether co-founder William Quigley, without stablecoins, crypto volume and liquidity could drop by 75%.

-Stablecoin Dominance Shifts Away From Ethereum to TRON, Althalla.com,

Data sourced from Cryptonews. Read full report.

Advertisementspot_img

Latest News