Over the past 30 days, nine of the leading ten stablecoins by market cap experienced declines, with BUSD witnessing the most significant dip, plunging 16.6%. As we wrapped up August, the combined value of these stablecoins hangs just below the $125 billion threshold, continuing a trend of consecutive monthly decreases this year.
Major Supply Drops for 9 of the Top 10 Dollar-Pegged Leaders; FDUSD Supply Jumps 40% Higher
Currently, the stablecoin market stands at $124.54 billion. Echoing the trends of previous months, August witnessed a contraction in the supply of numerous projects. Tether (USDT), the heavyweight in the stablecoin arena, boasts a valuation of approximately $82.88 billion.
However, USDT saw its circulating supply drop by 1.1% over the last 30 days. Circle’s usd coin (USDC) declined 1.4% this month, while Makerdao’s DAI faced a 6.4% contraction in its monthly supply. USDC’s market cap floats around $26.13 billion, with DAI trailing at $3.89 billion.
Although DAI’s supply stands below 4 billion, BUSD is teetering close to dropping below the $3 billion mark. In the past 30 days, BUSD decreased its supply by a notable 16.6%, while TUSD reported a 3.8% dip in circulation. FRAX, albeit seeing a decline in August, had the slightest reduction of the top ten, shedding a mere 0.6%.
Meanwhile, Tron’s USDD and pax dollar (USDP) registered monthly drops of 2.5% and 8.3% respectively. The newcomer, first digital usd (FDUSD), defied the trend and expanded its supply from 232 million at the start of August to 327 million FDUSD by month’s end – a growth of more than 40%.
Over the last month, gemini dollar (GUSD) experienced a 14% contraction in supply, while liquity usd (LUSD) faced a 2.5% dip. Despite witnessing yet another month of consistent declines, some substantial and others more modest, USD-pegged stablecoins continue to dominate the trading volume in the cryptocurrency landscape.
To illustrate, of the total $36.92 billion traded in the crypto world in a 24-hour span, $28.65 billion is attributed to stablecoins. Among these, tether (USDT) alone accounts for an impressive $18.83 billion of that volume.
What do you think about this month’s stablecoin action? Share your thoughts and opinions about this subject in the comments section below.