In October, stablecoin transaction volumes surged by 45% to reach $2.8 trillion, up from the record $1.94 trillion recorded in September. This significant increase is driven by large-scale investors who continue to accumulate Ethereum-based stablecoins amid volatile market conditions.
The market capitalization of Ethereum stablecoins has experienced a record weekly increase of 1.36%, surpassing $165 billion. Leading the pack is Tether’s USDT, with 85.88 billion tokens circulating on the Ethereum network, reflecting a monthly growth rate of 8.12%. Close behind is Circle’s USDC, with 48.2 billion tokens in circulation, which grew by 5.79% during the same period. This expansion underscores stablecoins’ growing role as a critical component of the digital payments infrastructure.
### Market Position and Annual Performance
Stablecoins now control approximately 60% of the broader market, with a total circulation exceeding $308 billion. USDT remains the market leader with a capitalization of over $183.6 billion, while USDC holds the second spot with around $75 billion—accounting for 41% of the stablecoin market.
The annual transaction volume for stablecoins has surpassed $27 trillion, representing roughly 1% of daily global payment flows. Based on current growth trends, stablecoin settlement volumes are projected to exceed those of traditional financial networks within the next decade. This momentum is fueled by increasing demand for cross-border transfers, real-time settlements, and the ability to access payments outside conventional banking hours.
Stablecoins are now widely used across various sectors, including remittances, decentralized finance (DeFi) protocols, trading operations, capital markets, corporate treasury management, and consumer payments.
### Infrastructure Competition Intensifies
According to Gate Research, major stablecoin issuers are prioritizing the development of infrastructure over mere token expansion. Providers are focusing on building foundational settlement networks rather than just increasing token issuance.
Tether has introduced Plasma products designed for retail and institutional payment systems, while Circle recently launched Arc, an infrastructure-focused stablecoin platform. These initiatives signal a strategic shift toward enhancing utility and settlement infrastructure in the stablecoin ecosystem.
Min Jung, Research Associate at Presto Research, noted the sector’s accelerating momentum. Recent regulatory developments, such as the passage of the GENIUS Act and Circle’s initial public offering (IPO), have further propelled this trend.
As stablecoins continue to evolve, their impact on the global financial landscape is set to grow, reshaping how payments and settlements are conducted worldwide.
https://bitcoinethereumnews.com/tech/stablecoin-transaction-volume-surges-past-2-8-trillion-in-october/?utm_source=rss&utm_medium=rss&utm_campaign=stablecoin-transaction-volume-surges-past-2-8-trillion-in-october
