Ethereum has officially surpassed Tron to become the largest blockchain for $USDT after its supply on the Ethereum network surged by 9.3% in just one week. Currently, the $USDT supply on Ethereum stands at $60.3 billion, while Tron falls to second place with $58.1 billion after experiencing a 1.5% decline in supply.
This marks a significant milestone for Ethereum, reclaiming its position after losing it to Tron in August 2022. The substantial increase in $USDT supply on Ethereum highlights not only the network's appeal but also a positive signal for the broader crypto market. Stablecoins, with their value pegged to the US dollar, are a key indicator of liquidity and capital inflows into the market.
The total market capitalization of $USDT now sits at $132.5 billion, a significant increase compared to August 2023. Meanwhile, its closest competitor, $USDC, holds second place with a market cap of $39 billion. Through large-scale minting events in 2023 and 2024, Tether ($USDT) has accelerated its growth, leaving competitors far behind. Despite facing frequent FUD regarding insufficient reserves to back its minting activities, Tether has consistently demonstrated resilience and maintained market trust.
On the other hand, Circle, the issuer of $USDC, stopped supporting native $USDC on the Tron network in February 2024. Binance, the world's largest cryptocurrency exchange, followed suit in March. These moves may be linked to the European Union's introduction of new crypto and stablecoin regulations under the MiCA framework.
Ethereum reclaiming the top spot is not just a win for its network but also signals a new, promising chapter for the cryptocurrency market. Rising liquidity translates to greater opportunities for both investors and blockchain projects. Stay tuned for the next developments in this dynamic space!
