Stablecoin market value has grown for 11 consecutive months, breaking through $168 billion to hit a record high
DefiLlama data shows that the market value of stablecoins has grown for 11 consecutive months, hitting a record high of $168 billion (currently about $168.1 billion), exceeding the previous peak in March 2022 ($167 billion).
The data does not include algorithmic stablecoins, whose value is maintained through algorithmic mechanisms rather than pegged to external assets such as fiat currencies or gold. Crypto analyst Patrick Scott said he believes this is a sign of "new funds flowing into the cryptocurrency field."
“Stablecoins have reached new all-time highs,” he wrote in an August 26 X post. “Total stablecoin market cap, excluding algorithmic stablecoins, has now reached an all-time high, surpassing the previous high in early 2022.”
When asked by another user if institutional investment was driving the rally, he did not speculate on the cause of the rise, but did point out that “retail trading has been going on for at least eight months.”
According to a July report from CCData, stablecoin trading volume fell 8.35% last month due to a drop in trading activity on centralized exchanges.
The report cited MiCA regulations, which raised concerns about the future of USDT in Europe, as one of the reasons for the drop in stablecoin trading activity on centralized exchanges in July.
The trend has continued into August, with the market currently trading just over $46 billion, according to CoinMarketCap.
