Stablecoin market cap hits new ATH of $226.8B

The stablecoin market has reached a new all-time high, with a total market capitalization of $226.8 billion.

Tether (USDT) remains the largest stablecoin, with a market value of $143 billion, accounting for 63% of the market. This is approximately three times the market capitalization of USD Coin (USDC), which stands at $57 billion.

As regulations evolve, both banks and major fintech companies are increasingly entering the stablecoin market. Former U.S. President Donald Trump's pro-crypto stance has accelerated regulatory momentum, prompting lawmakers to clarify crypto regulations.

Recently, Bank of America signaled its interest in launching its own stablecoin, joining major companies such as Standard Chartered, PayPal, Revolut, and Stripe. This shift in the financial sector coincides with the growing use of stablecoins for cross-border payments, providing alternatives to traditional banks, especially in developing countries and sectors like shipping and commodities.

Additionally, the regulated, euro-pegged stablecoin EURC has gained traction, offering a stable and secure solution for users looking to transact in euros.

Smaller stablecoins with market capitalizations under $1 billion are also growing rapidly. In the past week alone, $2.45 billion worth of stablecoins were issued, according to DeFiLlama.