Solana's network saw a significant increase in stablecoin supply in January, growing by 73.6% since mid-month. As of January 30, the total supply of stablecoins on Solana reached $11.1 billion, setting a new all-time high, as per recent report by CCData.
Solana's network saw a significant surge in stablecoin supply in January, with a 73.6% increase in total stablecoin supply since mid-January. As of January 30, the total supply of stablecoins on Solana reached $11.1 billion, setting a new all-time high, according to a recent report by CCData.
This increase was largely attributed to heightened network activity following US President Donald Trump's launch of $TRUMP, the memecoin. The surge in Solana's stablecoin supply is also notable, as it now ranks third in total stablecoin supply, trailing only Ethereum and Tron. USDC remains the dominant stablecoin on the network, accounting for nearly 78% of the total stablecoin supply.
Highlighting the performance of USDT and USDC, the report noted that Tether's USDT continued its growth trend, increasing by 1.38% to reach $140 billion, marking its 17th consecutive month of gains. However, USDT's dominance fell to 64.9%, its lowest level since May 2023, as other stablecoins gained market share.
On the other hand, USD Coin (USDC) had a standout month, growing by 18.9% to reach $52.1 billion, its highest level since July 2022. This shift in market dynamics shows the growing competition among stablecoins, with USDC and FDUSD seeing gains in both market capitalization and trading volume.
Both Sky Dollar and RLUSD saw success in January. RLUSD, having recently gone live in a little over two months in a centrally located environment, saw a trading value of $3.02 billion. With a circulating supply of $97.5 million and in excess of $104 million in reserve assets, RLUSD is a player in its niche in a relatively short period of time. Meanwhile, Sky Dollar rose 91.5% in value to $2.42 billion, a two-month high for a second successive rise in value. Both stablecoins illustrate increased diversity in the marketplace for stablecoins.
Solana's presence in the universe of stablecoins continues to expand, with Solana recently outgunning Binance Chain in terms of stablecoin issuance. With $TRUMP's launch, Solana saw a tremendous surge in activity in its DEXs, propelling volumes in trading in stablecoins. The integration of FDUSD through First Digital Labs brought additional diversity in terms of stablecoin presence in the network. There is a predominantly presence of USDC and USDT in Solana's stablecoin supply, but emerging assets, including new entrants such as Sky Dollar and RLUSD, form a larger expansion direction in the ecosystem.
