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Greetings, Crypto Fella’s👋, |
This newsletter gonna be exciting for you, as it would keep you ahead of the curve in the crypto sector, with important developments that happened in the Stablecoins. |
Recently, a research report on the Stablecoins highlighted that this sector have surged into the massive spotlight in H1 2025. |
In fact, the total market cap has hit an record of $251.55 billion, up from $204 billion at the start of the year. That jump pushed their share of total stables cap from 7.9% to 8.9%—a significant shift. Clearly, investors are leaning in. |
Why it matters: Stablecoins now act like digital cash, as it is “neatly bridging traditional finance and crypto”. They offer stability without sacrificing speed or transparency—crucial for adoption. |
👉 What uses for stablecoins excite you most—cross-border payments, DeFi, or corporate treasuries? |
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📈 Market Leaders: USDT & USDC in Focus |
Despite fierce competition, two names still dominate: USDT and USDC. Report also highlighted that among 264 stablecoins on DeFiLlama, 162 boast over $1M in market cap. |
Stablecoin | Jan H1 2025 Cap | Jun H1 2025 Cap | Jan Dominance | Jun Dominance | USDT | $138 B | $154 B | 71.1% | 65.6% | USDC | $41 B | $61 B | 21.5% | 26.0% | USDe, DAI, FDUSD, FRAX, others | smaller caps | mixed share changes | | |
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Notably, USDT’s share dipped slightly, while USDC gained traction. Meanwhile, rising contenders like PYUSD, and RLUSD are making modest gains. |
👉 Do you think stablecoin diversity is healthy, or is market consolidation inevitable? |
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🌊 On‑Chain Signals & Ecosystem Flows |
Stablecoin usage isn’t just about capitalization—it’s about movement. “Net flows into exchanges remained strong across H1”, highlighting steady demand. |
Moreover, monthly on‑chain volume climbed from $982 billion to $1.394 trillion, per the IntoTheBlock. |
Active wallet addresses surged too—another strong sign that stablecoins appeal to both retail and institutional users. |
👉 Have you noticed more stablecoins in your portfolio or dapp usage lately? |
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⛓️ Chain Activity: Where the Action Lives |
The report also display about the top stablecoin’s blockchain preferences. Here’s how the top Stablecoins market share that has been divided across major blockchains: |
Stablecoin | Primary Chain | Rest | USDT | Tron (50%) | Ethereum (40%) | USDC | Ethereum (62%) | Solana (13%) | USDe | Ethereum (97%) | Others | DAI | Ethereum (88%) | Others | FDUSD | Ethereum (80%) | Solana (8%) | RLUSD | Ethereum (84%) | XRPL (16%) | FRAX | Ethereum (49%) | Fraxtal (~33%) |
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As expected, “Ethereum still anchors most stablecoin activity”. However, Tron and Solana are emerging as rising alternatives. |
👉 Which blockchain do you expect to gain the most stablecoin share over the next year? |
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🏛️ Institutions & Regulation: GENIUS Act Ahead |
Turning to regulation—July 17 marks a key date: the U.S. Senate votes on the GENIUS Act, per the report. This bill would mandate full dollar or liquid-asset backing for stablecoins and require annual audits for issuers above $50 billion. |
Backed by President Trump, the bill aims to grant credibility to stablecoins and reinforce the U.S. dollar’s digital supremacy. |
Meanwhile, giants like Bank of America are preparing their own tokens, while Santander, and Société Générale are much ahead then other banks. |
Despite knowing the potential, some organizations are waiting and prioritizing the clear compliance, over speed. While, some firms have overlooked the compliance and entered fearlessly like the WLFI. |
👉 Will tighter regulation help or harm stablecoin innovation? |
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🏦 Corporate Moves: From Circle to Amazon |
Circle, the team behind USDC, went public in H1 2025. Its stock skyrocketed 235% on day one, a clashing blend of old and new finance. |
Furthermore, heavyweight corporates—Amazon, Walmart, Expedia—are exploring stablecoin initiatives. Their goal: to cut fees on internal payments and accelerate settlement worldwide. |
👉 Do you think a Walmart-owned stablecoin would be widely used? |
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🌐 TRON & Emerging Issuers |
Tron is making waves. Notably, World Liberty Financial Inc. launched USD1 on the network. Tron’s role in new stablecoins is growing, anchoring the perception of it as a stablecoin launchpad. |
Meanwhile, issuers are profiting directly. Tether alone reported over $1 billion profit in Q1 2025, riding yields from U.S. Treasuries backing their reserves. |
👉 How important is issuer profit vs. user utility in stablecoins? |
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🏁 Final Word: The Digital-Dollar Frontier |
In summary, H1 2025 marks the launch of the stablecoin-dominated era. Market caps are at all-time highs. “Ethereum” remains the hub, but new networks and tokens are rising. |
Regulatory approval via “the GENIUS Act” could define how these tokens fit into the global financial system. |
👉 Do you believe stablecoins will become a staple of global finance by 2028? Hit reply and share your view! |
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Thanks for reading FOMOchain’s crypto dive. |
Stay tuned, fella’s. We’ll be tracking Q2 week by week - and as always, decoding the signal from the noise. |
Until next time, From FOMOchain Team. |
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