Which took the lead?
Most of Q3’s net growth clustered around three stablecoins:
- •USDT: Led with $19.6 billion in creations, reinforcing its dominance across centralized venues and layer‑1 (L1) and layer‑2 (L2) networks.
- •USDC: Followed with $12.3 billion, showing an acceleration consistent with broader distribution and easier on‑ramp access.
- •USDe: Added $9 billion, underscoring demand for yield‑tied models even as debates over risk, design and market conditions continue.
Outside the top three, PayPal’s USD (PYUSD) and Sky’s USDS logged about $1.4 billion and $1.3 billion in quarterly inflows, respectively. Newer entrants like Ripple’s RLUSD and Ethena’s USDtb also recorded smaller but steady gains from a low base.
Heading into the next quarter, two questions loom: Can USDC continue closing the gap with USDT? And can USDe sustain its high velocity as markets shift and regulatory or policy developments intervene?
Did you know? Under the EU’s Markets in Crypto‑Assets (MiCA) regime, a stablecoin can be classified as “significant” if it crosses thresholds such as more than 10 million users, over €5 billion in value/reserves or more than 2.5 million transactions per day (and over €500 million in daily value), triggering tougher European Banking Authority (EBA) supervision.
Where the money settled
On‑chain, most of the new dollars are parked where depth already exists.
- •Ethereum continues to dominate, hosting over 50 % of the total stablecoin supply (more than $150 billion).
- •Tron remains a clear second at about $76 billion, serving as the preferred route for low‑fee, retail‑style transfers.
- •Solana has climbed into third place, with more than $13 billion in native stablecoins as DeFi activity and payment use cases expand.
The split mirrors what users experience day to day: Ethereum for liquidity and composability, Tron for speed and negligible costs and Solana for a smoother, high‑throughput experience.
What’s causing the renewed stablecoin advance?
A mix of policy shifts, market forces and infrastructure upgrades helped set the stage.
- •Policy clarity: The GENIUS Act delivered the first US framework for payment stablecoins, giving issuers and networks greater confidence to scale.
- •Yield and carry: Attractive front‑end rates and the rise of tokenized US Treasurys — which grew from about $4 billion in early 2025 to more than $7 billion by June 2025 — pulled additional capital on‑chain.
- •Better plumbing: Broader payment and exchange integrations, along with faster and cheaper L1/L2 infrastructure, have made stablecoin use smoother than a year ago.
- •Risk rotation: Part of the surge reflects “dry powder,” as investors parked funds in stablecoins during choppier market conditions.
Winners and what the numbers hide
USDT and USDC took most of the new money, helped by their exchange listings, wide trading pairs and easy access through banks and apps.
Together, they make up more than 80 % of the market, and new US rules only strengthen their position.
Ethena’s USDe also grew quickly by offering yield, but it depends on smooth hedging and market conditions — any disruption could test its stability.
PayPal’s PYUSD gained ground thanks to distribution, while Binance USD (BUSD) continued winding down, underscoring how much licensing and banking partners matter.
However, record growth doesn’t mean record use: In the past month, active addresses dropped by about 23 %, and transfer volume fell 11 %. Much of the new supply looks more like cash parked on the sidelines than money actively moving through the system.
Liquidity is still spread thin across venues and chains, making swings sharper during stressful moments. New designs like USDe bring fresh demand but also carry added risks, and they’ve already come under increased regulatory scrutiny in Europe.
The headline number is big, but the real story is whether that supply turns into lasting activity.
What to watch next
Here are some key signals to track as the market matures.
- •Creations vs. redemptions: Was Q3’s $46‑billion surge a one‑time spike or the start of a new cycle?
- •Issuer spread: Can USDC continue closing in on USDT, and can USDe sustain growth without stability slips? Reserve disclosures will be the key tell.
- •Chain rotation: Ethereum, Tron and Solana will keep battling for share — watch whether shifts stick or fade.
- •Plumbing and ETFs: SEC listing standards and CME’s new SOL options could steady inflows by improving liquidity and hedging.
- •Policy rollout: The GENIUS Act’s rules in the US and MiCA in Europe will shape who issues, where and under what terms.
- •On‑chain dollar stack: Tokenized T‑bills and money funds are building the “yield leg” alongside stablecoins, likely anchoring more balances on‑chain.
Ultimately, the $46‑billion headline shows demand, but the real test is whether that supply keeps moving, deepens liquidity and withstands the next policy or market shock.