Stablecoins have been a popular topic in the crypto market for quite some time now. According to recent statistics, the stablecoin economy was valued at $135 billion on March 26, with the top stablecoins representing 75% of the $42.17 billion in 24-hour global trade volume across the entire crypto market. In this article, we’ll analyze the recent circulation changes in stablecoins and how they have impacted the crypto market.
Top Ten Stablecoins in Circulation
Today’s top ten stablecoins in circulationinclude USDT, USDC, BUSD, DAI, TUSD, FRAX, USDP, USDD, GUSD, and FEI. Over the past month, USDC, BUSD, and GUSD have experienced double-digit reductions in supply. On the other hand, TUSD’s supply has doubled or risen by 112.3% higher than it was 30 days ago. Among other stablecoin assets, LUSD rose 16.2% and USDT increased by 12.7% over the last month.
Market Valuation Changes
LUSD now has a market valuation of around $267.70 million, USDT’s market capitalization has risen to $79.70 billion, and TUSD’s market valuation has grown to $2.05 billion. On the other hand, USDC’s number of coins in circulation has dropped by 6.12 billion since March 11. Statistics for the last 30 days indicate that USDC lost 19.5% of its supply compared to last month.
BUSD and GUSD experienced the largest reductions, with GUSD losing 31.6% of its supply over the last 30 days. BUSD has reduced its supply by 30.6% since last month, and its market valuation is just above $8 billion. According to Nansen’s proof-of-reserves tool, $7.3 billion BUSD is held by Binance. The stablecoin DAI issued by Makerdao has seen a 4.7% increase in circulation. Over the last month, FRAX recorded a 1.9% increase, and USDP has risen 8.5%.
Stablecoin Circulation Changes Impact on the Crypto Market
The changes in the circulation of stablecoins have had a significant impact on the crypto market. The reduction in the supply of some stablecoins has resulted in increased demand for others, leading to a rise in their market valuations. For example, TUSD’s supply doubling or rising 112.3% higher than it was 30 days ago has resulted in a significant increase in its market valuation. Similarly, the rise in USDT’s circulation has resulted in an increase in its market capitalization.
On the other hand, the reduction in the supply of stablecoins like BUSD and GUSD has resulted in a decrease in their market valuations. This is because a decrease in supply leads to a decrease in demand, resulting in a lower market valuation.
In conclusion, the recent circulation changes in stablecoins have had a significant impact on the crypto market. While some stablecoins like TUSD and USDT have seen an increase in circulation and market valuations, others like BUSD and GUSD have seen a decrease in circulation and market valuations. It will be interesting to see how these changes will impact the crypto market in the coming months.
For more articles visit: Cryptotechnews24