Stablecoin Market Share and Transaction Volume - [September 2025 Data]

Stablecoins explained: understanding the fundamentals

What is a stablecoin?

Stablecoins are a unique category of cryptocurrency designed to maintain a stable value, typically pegged to fiat currencies such as the U.S. dollar. To put it simply, the meaning of a stablecoin lies in its stability; unlike Bitcoin or Ethereum, whose prices can fluctuate significantly, stablecoins provide a reliable medium of exchange and a store of value.

For readers wondering “What's a stablecoin?” or looking for a precise stablecoin definition, these assets are digital tokens that aim to minimize volatility. Stablecoins explained typically highlight their use in trading, payments, and DeFi applications, where price predictability is crucial. If you want to define stablecoin in one sentence: it’s a cryptocurrency engineered to retain a stable value against a reference asset, most often the U.S. dollar.

How many stablecoins are there?

• As of September 2025, there are 291 stablecoins according to DefiLlama, each with different mechanisms, collateral types, and issuance models. 

Comparing Bitcoin vs stablecoin or stablecoin vs crypto illustrates the difference in purpose: Bitcoin remains a volatile store of value and investment vehicle, whereas stablecoins focus on stability and utility. 

Many users ask, “Is Bitcoin a stablecoin?” or “Is Ethereum a stablecoin?”. The answer is no; both are subject to significant price fluctuations, unlike stablecoins. Similarly, discussions of stablecoin vs Bitcoin and Altcoin vs stablecoin emphasize that stablecoins are primarily about maintaining value rather than speculation.

Stablecoin rates are usually very close to $1, making them appealing for everyday transactions and cross-border payments.

Is stablecoin a good investment?

While they may not provide explosive gains like traditional cryptocurrencies, stablecoins offer security, liquidity, and a predictable hedge in volatile markets.

Understanding the stablecoin meaning and its role helps investors, traders, and everyday users navigate the crypto ecosystem with confidence, bridging the gap between the fiat and crypto worlds.

Building on the broader crypto market analysis, the next section explores how the stablecoin market cap and value have shifted over recent years.

How the stablecoin market size and share have evolved over time

Stablecoin market cap

The chart illustrates the expansion of the stablecoin market cap from early 2020 through September 2025. During this period, the sector transformed from a relatively niche segment into one of the most significant drivers of liquidity in the crypto economy. Tracking the stablecoin market cap over time highlights both phases of rapid growth and subsequent market corrections.

• Stablecoin market cap increased from just $4.171 billion in January 2020 to $149.7 billion by December 2021, marking a 35-fold increase in two years.
• After peaking at $187.662 billion in May 2022, the stablecoin market cap fell to $123.791 billion by October 2023, reflecting a 34% decline.
• Since early 2024, recovery has been steady, with the stablecoin market cap reaching $283.693 billion in September 2025, the highest point on record.

Stablecoin market value

The stablecoin market cap has demonstrated both exponential growth and significant volatility, reflecting the sector’s close ties to broader crypto market cycles. Early adoption and increasing utility in DeFi fueled the sharp rise in 2020-2021, while regulatory pressures and market downturns drove the contraction in 2022-2023. However, the renewed expansion in 2024-2025, pushing the stablecoin market size past $280 billion, indicates sustained investor demand and a growing role for stablecoins in global digital finance. 

After reviewing the overall stablecoin market cap, it is essential to analyze the year-over-year growth rates that reveal the sector’s underlying momentum and market cycles.

Stablecoin market cap growth YoY: from explosive expansion to stabilization

The chart tracks the YoY growth of the stablecoin market cap from January 2020 to September 2025. In its early phase, the sector experienced unprecedented expansion, with annualized growth rates surpassing 1,000% in 2021. Following a steep correction in 2022-2023, the market has since shifted into a phase of renewed recovery, showing stable and consistent growth throughout 2024-2025.

• Stablecoin market cap growth peaked at 1,067.8% in April 2021, the fastest YoY expansion in the dataset.
• Growth rates turned negative in 2023, bottoming at -30.7% in May 2023, marking the sharpest annual contraction.
• By September 2025, the market rebounded strongly, achieving a 66.6% YoY growth rate, signaling a robust recovery.

YoY stablecoin market cap growth

The year-over-year analysis highlights the evolution of the stablecoin market cap from explosive early growth to maturity. While 2020-2021 was defined by exponential expansion, with growth consistently above 500%, the downturn of 2022-2023 reflected both market saturation and external pressures. However, the rebound beginning in 2024, accelerating to over 60% YoY growth by late 2025, confirms that stablecoins continue to expand their role in digital finance. This trajectory underscores the resilience of the stablecoin market, balancing earlier volatility with a more sustainable long-term growth pattern.

Having assessed overall market growth, the next step is to look at the top 10 stablecoins by market capitalisation to see which assets dominate the sector.

Top 10 stablecoins by market capitalisation in 2025

The ranking of the most popular stablecoins as of September 2025 highlights how market concentration is shaped by just a few dominant players. Tether (USDT) remains by far the most used stablecoin, followed by USD Coin (USDC), with both together accounting for the majority of the market. Beyond the leaders, emerging tokens such as Ethena USDe and PayPal USD reflect the ongoing diversification of the stablecoin ecosystem.

• Tether (USDT) leads the market with a $173.0 billion market cap, making it the most reliable stablecoin in terms of liquidity.
• USD Coin (USDC) holds the second spot with $73.6 billion, confirming its position as one of the most popular stablecoins globally.
• New entrants like Ethena USDe have already reached $14.4 billion, showing how quickly popular stablecoins can scale.

The most popular stablecoins ranked by market cap

The current top 10 stablecoins show a highly concentrated market, with USDT and USDC together representing over two-thirds of total capitalization. These two remain the most stable stablecoins and the most used stablecoins in the ecosystem. At the same time, the rise of tokens like Ethena USDe, Sky Dollar (USDS), and PayPal USD reflects innovation and growing competition. While Tether dominates as the best USD stablecoin by size, the expansion of alternative assets suggests a more diverse and resilient stablecoin landscape moving forward.

Stablecoin types, examples, and backing

Which stablecoin is best?

Understanding the different types of stablecoins is essential for anyone navigating the crypto ecosystem. Broadly, stablecoins can be categorized into fiat-collateralized, crypto-collateralized, and algorithmic stablecoins. Each type offers unique advantages depending on use cases, such as trading, payments, or hedging against volatility.

When exploring examples of stablecoins, some of the most well-known include Tether stablecoin (USDT) and USD Coin (USDC). The USDC meaning refers to a fully backed digital dollar token designed to maintain a 1:1 peg with the U.S. dollar. Other popular assets in the stablecoins list include Dai (DAI), True USD (TUSD), and Binance USD (BUSD), each with varying mechanisms to ensure stability.

For those seeking reliability, the most stable stablecoin often refers to tokens like USDC or USDT, which are widely used and monitored. In fact, the most used stablecoin globally is Tether, reflecting its integration across exchanges, trading platforms, and payment systems.

By examining types of stablecoins alongside their examples and backing mechanisms, users can make informed choices about which stablecoins best suit their needs, whether for trading, remittances, or as a hedge against market volatility.

After looking at market capitalization and growth rates, it is crucial to examine stablecoin prices to understand how well these assets maintain their peg to the U.S. dollar.

Stablecoin prices

Stablecoin price: insights from the latest stablecoin price chart

The stablecoin price chart shows daily closing values from March to September 2025, providing detailed stablecoin data on how closely assets such as Tether USDt track in USD. Stablecoin prices generally remain near $1.00, with only minor fluctuations that highlight the mechanisms keeping them stable.

• Between March 25 and September 24, 2025, stablecoin price USD values fluctuated within a narrow band of $0.9990 to $1.0016.
• The largest deviation was recorded on June 23, 2025, when the stablecoin price briefly rose to $1.0016.
• Despite small dips, such as $0.9990 on April 8, 2025, the average stablecoin price stayed extremely close to the $1 peg.

Stablecoin price trends: how stablecoins hold their peg

Stablecoin prices have demonstrated remarkable stability throughout 2025, with minimal daily variation around $1. This shows why stablecoins are regarded as the most reliable tools for liquidity and payments in digital markets. The data highlights that leading assets like Tether consistently deliver stability. Based on current trends, stablecoin price prediction models suggest that short-term deviations are rare, and the peg to the U.S. dollar remains firmly intact, underscoring the trust placed in stablecoins as core infrastructure for crypto finance.

Beyond price stability, stablecoins play a central role in actual usage, with their share of crypto transactions and overall market volume highlighting their dominance in digital asset activity.

Share of stablecoins in crypto transactions

Stablecoin market share by blockchain network

The data provides a detailed view of the stablecoin share of crypto market activity by blockchain network, including both trading and on-chain transactions. 

• Stablecoins represented 7% of the total crypto market share by blockchain network in value terms, equating to $265 billion, compared to Bitcoin’s 60% and other assets at 33%.
• At the same time, stablecoins account for approximately 40% of the total cryptocurrency trading volume as of 2024-2025. 

Share of stablecoins by blockchain network on the crypto market

Although their market share by capitalization is only 7%, stablecoins’ transaction value far exceeds their relative size, emphasizing utility over speculative investment. The stablecoin share of crypto market activity continues to expand year-over-year, positioning stablecoins as indispensable infrastructure for both centralized and decentralized finance.

While stablecoins account for over two-thirds of cryptocurrency transactions, their transaction volume growth over recent years highlights how indispensable they have become for liquidity and market stability.

Stablecoin transaction volume growth over time

The chart below tracks monthly stablecoin transaction volume from early 2019 to September 2025, showcasing the rapid acceleration of stablecoin adoption. From volumes below $2 billion per month in 2019, the market has expanded to levels exceeding $900 billion in mid-2025. This growth emphasizes how stablecoins evolved from niche instruments into the backbone of the crypto economy.

• Stablecoin transaction volume increased from just $1.69 billion in January 2019 to nearly $970 billion in August 2025, marking one of the fastest adoption curves in digital asset history.
• After consistently exceeding $500 billion monthly volumes in 2024, stablecoins hit a record $969.88 billion in August 2025.
• Year-over-year growth remained strong, with volumes more than doubling between December 2023 ($340.8 billion) and December 2024 ($713.6 billion), confirming their role as the most used stablecoin instruments for trading and payments.

How stablecoin transaction volumes reached record levels

The trajectory of stablecoin transaction volumes underscores their transformation into the primary medium of exchange within the crypto ecosystem. Despite representing only 7% of total crypto market capitalization, stablecoins facilitate the majority of market activity by transaction count and value. Their rapid growth reflects not only increased demand for liquidity and fiat on-ramps but also the global reliance on dollar-backed digital assets, with over 80% of flows occurring outside the United States. As stablecoin adoption deepens, transaction volumes are likely to remain the leading indicator of crypto market maturity and integration into the global financial system.

After years of rapid expansion, stablecoin volumes are expected to continue their steady rise, reflecting growing integration into global trading, payments, and decentralized finance.

Stablecoin transaction volume forecast for 2025-2026

The forecast outlines monthly stablecoin transaction volumes from October 2025 through December 2026. Based on current adoption trends, volumes are projected to increase gradually, surpassing $900 billion in August 2026 and approaching $1 trillion by the end of 2026. This outlook emphasizes the continued reliance on stablecoins as the most used stablecoin instruments in crypto markets.

• Stablecoin volumes are projected to grow from $739.24 billion in September 2025 to nearly $980 billion in December 2026, marking a 32% increase over 15 months.
• The forecast indicates that August 2026 ($912.56 billion) will be the turning point before monthly volumes consistently exceed $900 billion.

Projected Growth of Stablecoin Volumes

The forecast suggests a sustainable upward trajectory rather than explosive growth, indicating that stablecoins are moving into a mature adoption phase. With projected volumes nearing $1 trillion monthly, stablecoins are set to remain the dominant medium of exchange and liquidity tool in both centralized and decentralized markets. This outlook also reflects their expanding role in cross-border settlements, dollar-backed flows outside the U.S., and DeFi applications. As a result, stablecoins are positioned not only as the most popular stablecoins in daily use but also as one of the most reliable pillars of the digital asset ecosystem.

Beyond trading and market liquidity, the benefits of stablecoins are most visible in emerging markets, where they increasingly serve as practical tools for payments, savings, and cross-border transfers.

Adoption and growth in emerging markets

Stablecoin adoption in the world

The data shows that stablecoin adoption growth is particularly strong in regions such as Latin America. In these markets, stablecoins are not only speculative assets but also essential instruments for everyday transactions, including remittances and local commerce. The chart highlights how usage for cross-border payments is highest in Latin America (71%) compared to Europe (58%), Asia (53%), and North America (39%).

• Stablecoin-backed transactions in Africa and Latin America represent the fastest-growing segment, with adoption expanding by more than 40% annually.
• In Latin America, 71% of stablecoin activity is tied to cross-border payments, making it the leading region worldwide in practical stablecoin use cases.
• Compared to North America (39%), emerging regions are adopting stablecoins nearly twice as fast, reflecting their transformational role in local economies.

Stablecoin adoption rate

Stablecoins in emerging markets demonstrate why stablecoins are important beyond speculation: they provide affordable, fast, and reliable access to digital dollars. Their adoption is transformational in countries where inflation, currency devaluation, or limited banking access challenge traditional finance. Stablecoin use cases such as remittances, online commerce, and savings protection have become especially relevant in Latin America and Africa. As stablecoins, enabled in crypto since their inception, continue to evolve, their role in financial inclusion and global payment flows will expand, positioning them as one of the most impactful benefits of stablecoins for everyday users.

While adoption in emerging markets highlights the benefits of stablecoins, their most tangible impact is seen in everyday transactions, particularly remittances and merchant payments.

Stablecoin usage in remittances and payments

Stablecoin usage by purpose

Stablecoin statistics reveal that their use extends far beyond trading. According to the data, 67% of stablecoin transaction volume is tied to DeFi and trading, but a growing share is allocated to remittances (15%), inflation hedging (10%), and merchant payments (5%). Notably, stablecoin use in cross-border remittance is about 60% cheaper compared to traditional money transfers, underscoring their efficiency as digital payment rails.

• Stablecoin-backed remittances account for 15% of total usage.
• Beyond trading (67% share), stablecoin payments for remittances, commerce, and inflation protection already make up nearly 30% of all stablecoin use cases.
• Merchant payments, while still modest at 5%, highlight growing adoption of stablecoin USD transactions in real-world commerce.

How stablecoin payments transform global money transfers

Stablecoin payments are rapidly evolving into a mainstream alternative for remittances and everyday spending. Beyond remittances, stablecoin USD assets like USDC are increasingly used as a stable medium for online commerce, peer-to-peer transfers, and inflation protection. These trends confirm that stablecoins are shifting from niche trading instruments toward indispensable financial tools for households and businesses worldwide.

Beyond geographic adoption and remittance use, stablecoins play a critical role within blockchain ecosystems, providing liquidity and stability to decentralized finance (DeFi) protocols.

Stablecoin usage across blockchains and DeFi sectors

Stablecoin transaction volume by blockchain in 2024-2025

The chart highlights stablecoin transaction volume across major blockchains, showing their role in both trading and DeFi applications. Ethereum leads with $1.2 trillion in stablecoin transactions, reflecting its dominance as a platform for DeFi stablecoin liquidity pools. Tron surpasses Ethereum in total volume at $3.3 trillion, while Binance records $0.7 trillion, underlining the broad adoption of stablecoins across different blockchain networks. Additionally, stablecoin activity on Cardano’s DeFi sector demonstrates growing interest in emerging blockchain ecosystems.

• Tron hosts the largest stablecoin transaction volume at $3.3 trillion, illustrating its role as a high-throughput network for stablecoin transfers.
• Ethereum stablecoin transactions account for $1.2 trillion, supporting DeFi stablecoin liquidity pools and other decentralized applications.
• Binance blockchain handles $0.7 trillion in stablecoin volume, reflecting strong adoption of stablecoins on Binance exchanges and blockchain infrastructure.

Stablecoin usage in 2024-2025

Stablecoins are critical infrastructure for blockchain ecosystems, enabling efficient liquidity management and DeFi participation. The largest volumes occur on Tron and Ethereum, highlighting their capacity to support high-value stablecoin transactions and smart contract activity. Use cases such as Ethereum stablecoin liquidity pools and Cardano’s DeFi adoption show that stablecoins are not only a payment medium but also an integral tool for financial innovation on multiple blockchains. This cross-chain utility underscores their growing importance in both trading and decentralized finance, while USDC blockchains and other stablecoin deployments continue to expand the reach and reliability of digital assets.

Conclusions

• By late 2025, the stablecoin market will have matured from rapid expansion into a more sustainable growth phase. After rising from just $4.17 billion in early 2020 to $283.7 billion in September 2025, the sector weathered a sharp 2022-2023 contraction before regaining momentum, cementing its role as the backbone of crypto liquidity.
• Adoption continues to accelerate worldwide, with emerging markets such as Latin America and Africa leading in real-world use. In Latin America, 71% of stablecoin activity is tied to cross-border payments, underscoring their role in remittances, inflation hedging, and commerce where traditional banking is limited.
• Usage patterns highlight both concentration and diversification. Tether (USDT) and USD Coin (USDC) together account for over two-thirds of capitalization, while newer entrants like Ethena USDe and PayPal USD demonstrate the sector’s growing competitiveness. Transaction volumes, meanwhile, reached nearly $970 billion in August 2025, with forecasts pointing toward $1 trillion monthly flows by the end of 2026.
• Despite crypto market volatility, stablecoin prices maintained extraordinary stability, rarely deviating beyond $0.9990-$1.0016. This reliability reinforces their status as the safest and most practical digital dollar substitutes in trading, payments, and decentralized finance.
• Looking ahead, the stablecoin market is projected to deepen its integration into global financial systems. With transaction forecasts approaching $1 trillion per month and usage expanding in everyday payments, remittances, and DeFi, stablecoins are set to remain one of the most influential innovations in digital finance, bridging fiat and blockchain economies worldwide.

Methodology

We projected future stablecoin transaction volume using monthly data from January 2019 to August 2025. Each month was assigned a numeric index and modeled with a second-degree polynomial regression:

y = ax^2 + bx + c

where x is the month index and y is the transaction volume in billions of dollars. The regression (calculated in Google Sheets with the LINEST function) achieved an R² of ~0.84, indicating a good fit. Forecasts for September  2025 - December 2026 were generated by applying this equation to future months.

Sources

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