[Artemis] The State of Stablecoins 2025: Supply, Adoption & Market Trends​

Stablecoins have emerged as a critical component of digital financial infrastructure, serving as a bridge between traditional finance (TradFi) and the crypto economy. Their 1:1 peg to assets like the U.S. dollar or Euro provides a globally accessible store of value, facilitates efficient cross-border transactions, and enhances liquidity across digital asset markets.

Stablecoins as Financial Infrastructure

• Stablecoins serve as a bridge between TradFi and crypto, facilitating cross-border payments, liquidity provision, and DeFi applications.
• Total supply reached $214 billion, with $35 trillion in transfer volume, surpassing major payment networks like Visa and Mastercard.
• Despite growth, stablecoins remain 100 times smaller than the U.S. M1 money supply, indicating room for further expansion.

Market Trends & Adoption

• Supply increased by 63% YoY, from $138B to $225B.
• USDT remains dominant but lost market share from 69% to 64%, while USDC doubled to $56B and gained market presence.
• Decentralized stablecoins like Ethena’s USDe are gaining traction, with USDe growing from $620M to $6.2B.

Institutional vs. Retail Usage

• USDC leads in institutional transfers, benefiting from compliance with MiCA and DIFC regulations.
• USDT dominates peer-to-peer (P2P) transactions, especially on TRON, due to its lower regulatory oversight.
• Ethereum, TRON, and Solana remain the top blockchains for stablecoins, with Base emerging as a major player.

Stablecoins in DeFi & CEXs

• Centralized exchanges (CEXs) hold the most supply, but DeFi platforms drive most stablecoin transactions.
• Solana and Base have become key hubs for high-frequency trading, memecoins, and MEV-driven stablecoin flows.

Emerging Trends & New Stablecoins

• USDC is expanding in Latin America, now integrated with real-time payment systems in Brazil and Mexico.
• Regional stablecoins on Base (EURC, BRZ, cNGN, CADC) are driving localized adoption.
• Sky (formerly MakerDAO) introduced USDS, now competing with USDe in the decentralized stablecoin sector.

Stablecoins are evolving beyond simple digital cash into a key financial instrument for payments, trading, and DeFi. With rising institutional adoption, growing regulatory clarity, and expansion into real-world finance, their role in the global economy is set to increase significantly.