CCData: Stablecoins Break Past $190B Market Cap, Setting a New All-Time High Since Terra Crash

Stablecoins Shatter Records with $190 Billion Market Cap Amid Crypto Surge Post-Trump Election

Stablecoins have achieved a historic milestone, reaching a combined market cap of $190 billion, according to CCData’s latest report. This achievement reflects an unprecedented surge in demand, fueled by optimism following Donald Trump’s presidential election victory and the subsequent rally in cryptocurrency markets.

The new record surpasses the $188 billion peak from April 2022, which occurred just before the Terra-Luna collapse that triggered a prolonged bear market. Stablecoins, which serve as vital liquidity tools in the crypto ecosystem, have benefited from November’s market rally, as bitcoin (BTC) and solana (SOL) soared to new all-time highs.

Trump Effect Spurs Stablecoin Momentum

Investors flocked to stablecoins in anticipation of a friendlier regulatory environment for cryptocurrencies under the incoming administration. With their value pegged to assets like the U.S. dollar, stablecoins provide a low-volatility medium for trading and liquidity across exchanges.

This year also saw the rise of new tokenized instruments, such as BlackRock’s BUIDL and Ethena’s USDe, which offer innovative yield-generating opportunities. These products, included in CCData’s analysis, highlight the evolving landscape of the stablecoin market.

USDT and USDC Lead the Charge

Tether’s USDT continues to dominate, with its market cap reaching an all-time high of $132 billion, capturing nearly 70% of the market. Circle’s USDC also gained traction, climbing 12% in November to hit $39 billion, marking its strongest performance since the U.S. banking turmoil in early 2023.

Newer players like Ethena’s USDe are also seeing rapid growth, with a 42% increase in market cap to $3.8 billion. Its unique yield mechanism—leveraging crypto carry trades—has attracted significant attention, offering token holders a 25% annualized yield amid frothy market conditions.

Trading Activity Hits New Heights

Stablecoin trading volumes on centralized exchanges surged by 77% in November, reaching $1.8 trillion. Tether led the activity with an 83% share, while FDUSD and USDC accounted for 9% and 8%, respectively.

As the crypto rally continues, stablecoins are cementing their role as indispensable tools for investors, offering stability, liquidity, and innovative investment options. With market dynamics evolving, the stablecoin sector’s record-breaking performance signals its growing importance in the broader digital asset ecosystem.