USDT Added $5B While Rival Stablecoins Lost Billions Last Month

Stablecoin supply tops $300B as USDT adds $5B, while USDC, USDe and PYUSD lose $4.2B and net growth slows to 0.3%.

Total stablecoin supply has moved above $300 billion, but monthly growth has slowed sharply.

Tether USDT added more than $5 billion during the past month, while several rival stablecoins lost supply.

The market added only about $0.9 billion in net supply, or roughly 0.3%, during the same period.

USDT Gains as Stablecoin Growth Slows

The stablecoin market passed the $300 billion mark, based on the reported data. However, the latest monthly change showed limited new growth across the sector.

Most gains were concentrated in USDT, rather than spread across major tokens.

USDT expanded by more than $5 billion over the past month. The increase helped offset declines in other stablecoins.

Without that USDT growth, the total stablecoin market would have shown a larger decline.

USDC, USDe, and PYUSD together fell by about $4.2 billion during the month. Their combined drop reduced the broader market’s net growth.

As a result, total supply grew by only around $0.9 billion.

The report said new inflows are concentrated in USDT. It also said the broader market is not expanding at the same pace.

This shows a shift in stablecoin supply, rather than broad sector growth.

USDe and PYUSD Record Monthly Declines

Ethena’s USDe recorded one of the largest drops among the named stablecoins. Its supply fell 28% over the month.

The report also said USDe is down nearly 34% year-to-date. The decline was linked to compressed perpetual futures funding rates.

Lower funding rates can reduce yields tied to related strategies. That may reduce demand for yield-based stablecoin products.

PYUSD also recorded a monthly drop. Its supply fell 13% during the period. The data placed PYUSD among the stablecoins that lost supply while USDT expanded.

USDC also declined during the month, based on the combined figures.

The report did not give a separate monthly total for USDC. However, it included USDC in the group that lost about $4.2 billion.

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Some Stablecoins Still Attract Inflows

Not all stablecoins lost supply during the month. Sky’s USDS and World Liberty Financial’s USD1 recorded inflows.

These gains partly offset losses from other tokens. The report did not state the exact inflow amounts for USDS or USD1.

Still, their growth showed that demand was not limited to USDT alone. Some smaller or newer stablecoins also attracted capital.

Even with those inflows, USDT remained the main source of market growth. Its more than $5 billion increase was larger than the market’s net monthly gain.

That means declines elsewhere reduced most of USDT’s added supply.

The figures show a stablecoin market with uneven movement. Total supply has crossed $300 billion, but growth has slowed.

USDT gained share as several rival stablecoins contracted during the month.

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