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Ethereum’s Stablecoin Dominance Grows with $5B Weekly Inflow, Supply Hits $165B Record

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Ethereum’s stablecoin provide reached a report $165 billion after including roughly $5 billion in new tokens over the previous week, regardless of declining community revenues.

Token Terminal knowledge exhibits Ethereum added roughly $1 billion in stablecoins per weekday, whereas DeFiLlama exhibits $153.4 billion in complete market capitalization with USDT commanding 48.97% dominance.

The progress happens as centralized exchange stablecoin reserves hit $68 billion globally.

Revenue Decline Amid Stablecoin Growth

Ethereum’s on-chain revenue dropped 44% month-over-month to $14.1 million in August, down from $25.6 million in July, regardless of ETH reaching report highs of $4,957.

Network charges fell 20% to $39.7 million because the Dencun improve diminished layer-2 transaction prices.

The improve enhanced scalability however considerably diminished layer-1 price income. Critics warn that low price income undermines platform viability, whereas supporters argue that Ethereum is evolving right into a decentralized finance infrastructure.

Institutional consideration continues rising regardless of income considerations. Etherealize raised $40 million in September to advertise Ethereum adoption amongst public firms, constructing infrastructure for personal buying and selling and settlement of tokenized property, together with bonds and stuck earnings merchandise.

Co-founder Joseph Lubin predicts ETH could rally 100x as Wall Street shifts towards decentralized finance.

He believes Ethereum will substitute siloed institutional methods and grow to be the spine for monetary providers, staking, and sensible contract execution.

Fundstrat’s Tom Lee targets $5,500 near-term with formidable $12,000 year-end projection.

Lee disclosed that institutional sentiment shifted dramatically following the GENIUS Act’s passage, recognizing Ethereum as foundational blockchain infrastructure supporting over $145 billion in stablecoin provide.

Stablecoin Market Explosion Drives Infrastructure Demand

Global stablecoin transaction volume reached a record $2.5 trillion in response to Bridge platform knowledge. Chainalysis studies present USDT processed over $1 trillion month-to-month between June 2024 and June 2025, peaking at $1.14 trillion in January.

USDC ranged from $1.24 to $3.29 trillion month-to-month, with notably high October exercise.

Smaller stablecoins skilled speedy enlargement with EURC rising 89% month-over-month on common, rising from $47 million to $7.5 billion by June 2025.

PYUSD sustained acceleration from $783 million to $3.95 billion throughout the identical interval.

The progress signifies shifting utilization patterns with USDC linking to U.S. institutional rails whereas USDT dominates rising markets as digital money.

As a outcome, Tether is exploring deeper gold exposure by investing throughout mining, refining, buying and selling, and royalty finance ventures.

The firm holds $8.7 billion in gold reserves whereas contemplating bodily investments on bigger scales past its $900 million XAUt token.

CEO Paolo Ardoino calls gold “our supply of nature,” with Tether buying $105 million in Elemental Altus, adopted by an extra $100 million funding.

Exchange Consolidation and Infrastructure Competition

Binance dominates stablecoin reserves with $44.2 billion, representing 67% of all USDT and USDC holdings throughout exchanges.

Ethereum's Stablecoin Dominance Grows with $5B Weekly Inflow, Supply Hits $165B Record
Source: CryptoQuant

The complete contains $37.1 billion USDT and $7.1 billion USDC, which notably marks USDC’s resurgence on the platform.

OKX maintains $9.0 billion reserves with a 14% market share, whereas Bybit holds $4.2 billion and Coinbase $2.6 billion. Competing exchanges skilled stagnant progress as customers consolidate exercise on bigger platforms.

The latest 30-day enlargement favored Binance with $2.2 billion improve, and OKX added $800 million. Bybit and Coinbase reserves remained flat.

Amid the booming stablecoin adoption, Stripe launched Tempo blockchain last week, concentrating on 100,000+ transactions per second with sub-second finality.

The payments-focused Layer 1 options fiat-denominated charges and helps any stablecoin for gasoline funds by way of enshrined automated market makers.

Design companions embody Visa, Deutsche Bank, Standard Chartered, Anthropic, OpenAI, DoorDash, and Shopify.

The various coalition ensures broad fee use case protection from microtransactions to enterprise payroll methods.

The blockchain completes Stripe’s crypto infrastructure following Bridge’s $1.1 billion acquisition and Privy buy.

Tempo allows direct transaction processing income seize somewhat than exterior community price funds whereas leveraging intensive service provider networks.

As the stablecoin market is rising quick, treasury projections recommend stablecoin markets might exceed $2 trillion by 2028.

The publish Ethereum’s Stablecoin Dominance Grows with $5B Weekly Inflow, Supply Hits $165B Record appeared first on Cryptonews.

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