Skip to main content

Stablecoin Economy Sees $3 Billion Drop: Leading USD Tokens Shrink as Euro-Anchored Projects Display Resilience

Stablecoin Economy Sees $3 Billion Drop: Leading USD Tokens Shrink as Euro-Anchored Projects Display Resilience

The stablecoin economy continues to shrink, with more than $3 billion in value removed from today’s top stablecoin valuations in less than 40 days. The dollar-pegged tokens USDP and GUSD experienced the largest 30-day reductions, shedding 45.1% and 27.2%, respectively.

Top Stablecoins Tumble: $3 Billion Evaporates in Less Than 40 Days

Statistics reveal a significant contraction in the stablecoin economy, as billions of dollars have been withdrawn from dollar-pegged projects over the past year. About 39 days ago, the stablecoin economy was valued at $129.80 billion, but it has decreased to $126.70 billion today, with more than $3 billion vanishing since June 16, 2023.

The entire top ten stablecoins by market capitalization, except for tether (USDT), have experienced notable 30-day reductions. While USDT’s supply has increased by 0.6%, usd coin (USDC) has recorded a 30-day decrease of 6.4%. As of Tuesday, July 25, USDC’s market capitalization is $26.63 billion, down from $28.25 billion 39 days ago.

In the past month, DAI has lost 6% of its value, and BUSD has decreased by 10.1%. The stablecoin TUSD saw a reduction of 10.7%, while frax dollar (FRAX) dropped 9.3%. Meanwhile, Tron’s USDD recorded a modest 1.6% loss, and the Paxos-issued pax dollar (USDP) saw its supply dwindle by 45.1% over the same period.

Gemini dollar (GUSD) also experienced a significant loss, dropping approximately 27.2% over the past 30 days. On June 16, the 24-hour trading volume of stablecoins was around $30 billion, but it has since decreased to $23 billion. The global trading volume linked to stablecoin assets has notably declined over the past year.

Conversely, while the value of U.S. dollar-pegged stablecoins has dwindled, euro-anchored projects have recorded growth in the past month. Yet, it’s crucial to note that the volume of these euro-backed stablecoin initiatives significantly trails that of the towering USD token behemoths.

How do you perceive these market shifts in the stablecoin economy? Share your thoughts and opinions about this subject in the comments section below.



from Bitcoin News https://ift.tt/O1CU7Ar
Labels:

Comments

Post a Comment

Popular posts from this blog

Mt Gox Creditors Updated, Trustee Says Rehabilitation Custodian Is ‘Currently Preparing to Make Repayments’

On August 31, 2022, the Mt Gox trustee Nobuaki Kobayashi explained in a recent letter that the rehabilitation custodian is “currently preparing to make repayments” to Mt Gox creditors. Trustee Updates Mt Gox Creditors — Repayment Date and Exchange Still Unknown Last week speculation and rumors concerning the release of 140K bitcoin ( BTC ) from Mt Gox littered social media platforms and headlines. Bitcoin.com News covered the situation six days ago as a number of people and Mt Gox creditors called the rumors “ fake news .” During that same period of time, a bitcoin whale transferred 10,000 BTC to unknown wallets, and a 2018 annotation , heuristics, and clustering methods show the funds likely originated from the June 2011 Mt Gox hacks. Following the mysterious whale transfer, last Wednesday, Mt Gox published an official update from the court trustee Nobuaki Kobayashi that explains the court is “currently preparing to make repayments” to creditors. Mt Gox creditors have been wait...
Post a Comment
Read more

Fidelity Discusses Bitcoin as Portfolio Insurance — Could Soon Stand in ‘Stark Contrast’ to Path Fiat Currencies Take

Fidelity Digital Assets, a subsidiary of Fidelity Investments, says that bitcoin could be considered portfolio insurance. The firm notes that the cryptocurrency “may soon stand in stark contrast to the path that the rest of the world and fiat currencies may take — namely the path of increased supply, additional currency creation, and central bank balance sheet expansion.” Fidelity Says Bitcoin Could Be Portfolio Insurance Fidelity Digital Assets, a subsidiary of Fidelity Investments, recently published a research study titled “The Rising Dollar and Bitcoin.” The research outlines “how bitcoin could be considered portfolio insurance” as the rising dollar impacts global currency markets. “The strengthening U.S. dollar is wreaking havoc among other countries and may put pressure on the Federal Reserve to soon reverse its tightening monetary actions, something that has precedent based on 1985’s Plaza Accord,” Fidelity explained. In addition, “more monetary debasement may be needed to ...
Post a Comment
Read more

Economists Discuss Russia, China Potentially Developing Gold-Backed Currency That Could Undermine US Dollar

Economists have weighed in on reports that China and Russia may be developing a new gold-backed currency that could undermine the U.S. dollar’s status as the world’s primary reserve currency. Russia and China May Be Developing Gold-Backed Currency Several experts have shared their views on Russia and China potentially creating a new gold-baked currency, Fox Business reported Saturday, emphasizing that China has been buying up huge quantities of gold while Russia was forced off the U.S. dollar due to sanctions imposed on the country following its invasion of Ukraine. The news outlet noted that some experts have cautioned that these moves, along with the closer relationship that has developed between Moscow and Beijing, point to the likelihood of China attempting to launch a gold-backed currency. However, neither Russia nor China has officially confirmed plans for such a currency. Craig Singleton, senior fellow at the Foundation for Defense of Democracies and a former U.S. diplomat,...
Post a Comment
Read more