Stablecoin Supply Exceeds $10 Billion
May 13, 2020 – The total stablecoin supply has surpassed $10 billion, making it one of the largest types of cryptocurrency currently in demand.
On May 12, 2020, data from news website The Block recorded that the total stablecoin supply is now at $10.4 billion. This is more than 70% more than the total supply of stablecoins in February 2020.
Tether (USDT) continues to dominate, representing 85% of the total stablecoin supply. USDC follows at a very distant second (7.2%).
- Tether (85.1%)
- USDC (7.2%)
- PAX (2.4%)
- Binance USD (1.8%)
- HUSD (1.2%)
- TrueUSD (1.3%)
- Dai+Sai (1.0%)
- Gemini Dollar (0.1%)
The total supply of stablecoins has been in an upward trajectory as of late. On April 22, it was reported that their total value surpassed $9 billion. Many suggest that that the increase in stablecoin circulation is directly related to the increase in the price of Bitcoin. However, some argued that this is not a 100% bullish signal for Bitcoin. News website Bitcoinist previously noted 3 factors as to why USDT supply increases:
- Over-the-counter traders from Asia that are looking to acquire USDT.
- People selling crypto-assets for USDT to hedge positions
- People selling crypto-assets for USDT to reduce risk
Currently, Tether ranks as the 4th top cryptocurrency as per CoinMarketCap.
Source: The Block
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