Author: Brayden Lindrea, CoinTelegraph; Translated by: Deng Tong, Jinse Finance
After a 10% increase in the supply of Ethereum USDT last week, Ethereum has replaced Tron as the largest blockchain for Tether's stablecoin.
Data from DefiLlama shows that there are currently $60.3 billion worth of dollar-backed stablecoin Tether on Ethereum, while Tron has $58.1 billion.
Last week, USDT supply on Tron decreased by 1.5%, while Ethereum increased by 9.3%, helping it replace Tron for the first time since August 2022.
Ethereum and Tron lead USDT with shares of 45.4% and 43.7% respectively. Source: DefiLlama
The increase in USDT supply — now reaching a historic high of $132.9 billion — may be a bullish signal as stablecoins are the backbone of trading liquidity and capital flow in the entire cryptocurrency ecosystem.
Ethereum has been the main chain used by financial institutions to tokenize real-world assets backed by the dollar, while Tron's lower fees and faster chain have helped many store stablecoins like USDT in high-inflation countries.
Ethereum reclaimed the top position on November 21 and further separated from Tron on November 23, when Tether created $2 billion USDT on Ethereum, while Tron generated $1 billion.
BNB Chain, Arbitrum, and Avalanche rank in the top five with USDT supplies of $4.58 billion, $3.09 billion, and $1.31 billion respectively.
Ethereum (purple) regained dominance over USDT from Tron (green) for the first time since August 2022. Source: DefiLlama
According to CoinGecko, USDT is currently the world's largest stablecoin, with a market cap of $132.3 billion, followed by Circle's USD Coin with a market cap of $39 billion.
The market caps of USDS (USDS), Ethena USDe, and Dai range from $5.3 billion to $3.5 billion, ranking in the top five.
Tether noted that its users reached 350 million on October 7, equivalent to 4.2% of the global population.
Ethereum also leads USDC with a market cap of $26.3 billion, accounting for 67.5% of USDC's market cap.
However, after Circle and Binance decided to abandon support for USDC on Tron in February and March, Tron did not become a competitor to Ethereum's dominance over USDC.
