Stablecoin Market Surges to Record High
On September 24, the stablecoin market hit a new peak, soaring to $294.56 billion.This milestone, reported by DeFiLlama, reflects growing confidence in digital currencies.
leading the pack is Tether’s USDT, with a market cap of $173 billion. It holds 58.7% of the market share. Tether aims for a $500 million valuation, seeking $15 million to $20 million in fresh capital. USDC, issued by Circle, is also making waves. Its market cap hit $14.4 billion,marking it as the fastest-growing stablecoin. Circle’s IPO success, with a 120% first-day jump, shows investor enthusiasm. However, USDC is rapidly closing the gap with USDT.
Regulatory support has been a key driver. The GENIUS Act in the U.S. and the MiCA framework in the EU have created a more favorable environment. These laws help regulate stablecoin issuance, attracting customary institutions.
Some governments are even developing thier own stablecoins. This move aims to prevent USD-denominated stablecoins from dominating the market. As an example,World Liberty Financial (WLF),co-founded by the Trump family,launched USD1,backed by U.S. Treasuries. Though, this has raised conflict-of-interest concerns.
Despite challenges, the stablecoin market continues to grow. With favorable regulations and increasing demand,the future looks bright for these digital currencies.
