The stablecoin adjusted transaction volume hit a new all-time high of $54.9 billion in June—a 13% increase from the $48.2 billion transacted in May. This is the second consecutive month that the stablecoin adjusted transaction volume hit a new all-time high, which indicates that market participants have an increased demand for stablecoins.
Most popular stablecoins
Tether (USDT) is the dominant stablecoin by far with a market cap of $9,187,633,434 and a total supply of 9,479,177,442 USDT. USD Coin (USDC) is the second most popular stablecoin with a market cap of $1,040,564,243 and a total supply of 1,048,042,331 USDC.
PAXOS (PAX) is the third most popular stable coin, with a market cap of $244,774,641 and a total supply of 249,952,065 PAX.
Tether is significantly larger than both USDC and PAX, with a total supply that’s roughly nine times bigger than USDC’s and roughly 37 times larger than PAX’s.
The month-over-month stablecoin transaction volume indicates that there is an increased demand for stablecoins in the market. Given the recent volatility in the digital currency markets, some traders, both retail and institutional, may be looking to transfer their wealth to stablecoins to protect their portfolio against the volatility of the market.
The increased demand for stablecoins might also come from individuals looking to stake stablecoins to earn passive income. Some platforms, like Coinbase, pay their users an interest rate for holding stablecoins in a wallet that is native to the platform. In this case, an individual might want to accumulate stablecoins on the platform so that they can earn a passive monthly income.
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