The current total supply of USD-pegged stablecoins in the market indicates a return to its previous peak, driven by the increasing competition among new token issuances.
The stablecoin market reached $165 billion towards the end of last week, the highest level in almost two years. This surge in supply has been propelled by the growing market cap of Ethena’s USDe stablecoin, which has recently stabilized at around $2.4 billion.
Last Thursday’s milestone of $165 billion in total supply is the highest recorded since June 2022. The all-time high for supply stands at over $180 billion.
The market for USD-pegged stablecoins, traditionally dominated by Tether’s USDT and Circle’s USDC, is now expanding in terms of both supply and variety. As per DeFiLlama data, USDT holds a leading market share of approximately 70%.
