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Tether Dominates Stablecoin Market as Total Supply Shrinks in 2023

Tether Dominates Stablecoin Market as Total Supply Shrinks in 2023

Tether (USDT) is once again the preferred stablecoin of the crypto world, with its market share approaching 50% for the first time in a year.

The leading stablecoin issuer has added $2.4 billion USDT to its current circulating supply of $68.4 billion, representing a 3% growth. In comparison, Circle’s USDC has lost over $3.3 billion in supply, resulting in a 7.5% decrease to $41.2 billion.

Meanwhile, Binance’s BUSD, managed by Paxos, comes in third place with $16.1 billion but has seen a 3.5% decrease in supply since the start of the year.

The stablecoin market capitalization stands at approximately $138.5 billion, with Tether making up 49.39%, USDC at 29.76%, and BUSD at 11.63%.

DAI holds fourth place, the decentralized stablecoin maintained by MakerDAO, with a much smaller supply of $5.19 billion and a loss of 10% in market cap this year.

FRAX, with its algorithmic element, has remained steady in fifth place, while TrustToken’s TrueUSD (TUSD) has seen growth, adding 25% more supply this year.

READ MORE: Bitcoin (BTC): Is the Recent Price Surge a Sign of a New Bull Market Trend?

Overall, the stablecoin market has shrunk by 1.5% this year, losing over $2.1 billion in total. The stablecoin dominance in the crypto world reached a record high of just below 20% last November but has since declined to 14.38% as the crypto markets have recovered.

Alexander Stefanov

Reporter at CoinsPress

Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.

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