Stablecoins continue to gain traction as total on-chain transaction count hits 420M for the month of August.
The stablecoin landscape continues to heat up, with transaction counts approaching all time highs, climbing in tandem with the total supply which now stands at US$170B. The CELO ecosystem, in particular, has seen remarkable growth, with its USDT supply reaching US$200M just six months after launching on the emerging Ethereum Layer 2. Concurrently, the Celo blockchain ecosystem introduced the Stabila Foundation, which aims to enhance
financial stability and promote stablecoin utility, especially in emerging markets like Africa, Latin America, and Southeast Asia. Meanwhile, Solana continues to capture the market’s attention, recording the highest number of stablecoin transactions in August with 108M, narrowly surpassing BNB Chain's 97M, which held the top spot in July. Solana DeFi has been a significant driver of growth for PayPal’s PYUSD stablecoin, which has reached a total market capitalization of US$1B. Of this amount, over US$647M is on Solana, with US$430M locked as collateral on the DeFi protocol Kamino. Stablecoins remain one of the most widely used products to emerge from blockchain technology. As they continue to scale globally, it becomes increasingly important to observe how macroeconomic factors, such as global interest rates and evolving regulatory regimes, influence market participants' approaches to this burgeoning sector.
Source: Artemis, Binance Research As of August 31, 2024
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