The total market capitalization of stablecoins has been increasing for nearly a year now, according to blockchain analytics firm CCData.
In a new report, CCData says the total market cap of stablecoins rose by $169 billion in August, up by 2.89% from last month.
The increase marks the 11th time in a row that the market cap for stablecoins broke the previous month’s record.
“This is the highest end-of-month market capitalization recorded since April 2022.
This also represented an all-time high market capitalization for the asset class, excluding algorithmic stablecoins.”
Payments giant PayPal’s stablecoin is also seeing a surge in market cap as the trading volume of Paypal USD (PYUSD) on centralized exchanges rose by 80.6% to $320 million.
“The recent spike in demand is likely due to attractive incentives offered on decentralized lending protocols for PYUSD, with dApps including Drift Protocol offering up to 18% APR in yield. On-chain data shows that over 50% of PYUSD is serving as collateral on lending protocols and quote pairs on DEXs.”
PYUSD is now the sixth-largest stablecoin by market capitalization. In August, the asset’s market cap increased by 6.6% to $960 million, representing the fifth consecutive month of growth and a new all-time high.
USDT, the biggest stablecoin on the market, has a market cap of $118 billion.
Follow us on X, Facebook and Telegram
Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Surf The Daily Hodl Mix
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: Midjourney
