The stablecoin market has reached an unprecedented milestone
The stablecoin market has reached an unprecedented milestone, with monthly on-chain volume surpassing $1.5 trillion for the first time in history, according to new data from blockchain analytics firm Sentora (formerly IntoTheBlock).
Shared in a post on August 5, the firm highlighted this record-breaking surge as a defining moment for the digital asset sector—underscoring the expanding role of stablecoins in global crypto activity.
The visual chart accompanying the update showed an explosive rise in transaction volume, led by USDT (Tether) and USDC (USD Coin), followed by DAI, FDUSD, and emerging stablecoins like PYUSD and GUSD.
USDT and USDC Dominate Activity
As illustrated in Sentora’s volume breakdown, USDT continues to lead, clearing over $1.6 trillion in cumulative on-chain transactions. USDC follows closely as the second-largest contributor, showcasing growing demand for both centralized and decentralized stablecoin options.
Recent months also saw noticeable increases in usage for stablecoins like FDUSD and DAI, indicating a broader diversification in user preference across ecosystems. Smaller players such as FRAX, TUSD, and PYUSD also registered modest but growing activity, pointing to continued innovation and fragmentation within the space.
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Driving Forces Behind the Surge
Several macro and sector-specific factors appear to be fueling this upswing:
- Regulatory clarity in key markets like the U.S. and Europe.
- The GENIUS Act, signed into law on July 19, established clear federal guidelines for stablecoins and digital asset-backed financial products. The legislation includes reserve requirements and Federal Reserve oversight, a framework likely to foster deeper institutional trust and long-term stability in the sector.
- Increased adoption of stablecoins in cross-border payments, DeFi protocols, and remittance platforms.
The data also suggests that stablecoins are playing a bigger role in enabling liquidity and settlement across Layer-1 blockchains, DeFi apps, and centralized exchanges.
The Rise of the “Stablecoin Summer”
The historic volume milestone has been dubbed part of a broader trend that Sentora refers to as #StablecoinSummer—a period characterized by rapid capital inflows into stablecoin infrastructure and usage. This comes as financial institutions and fintech platforms increasingly explore integrations with on-chain stable assets.
Kosta Gushterov
Kosta has been working in the crypto industry for over 4 years. He strives to present different perspectives on a given topic and enjoys the sector for its transparency and dynamism. In his work, he focuses on balanced coverage of events and developments in the crypto space, providing information to his readers from a neutral perspective.
