Stablecoins are seeing a massive surge in activity, with monthly on-chain volume reaching a record high of over $1.5 trillion in July. This milestone, reported by on-chain data analytics firm Sentora, marks a continuation of a strong positive trend throughout 2025. The total value locked (TVL) in decentralized finance (DeFi) has also hit a three-year high of $179 billion, driven largely by a resurgence in the Ethereum network and its price nearing $4,000.
The new high in stablecoin volume is a clear sign of their growing adoption, especially with the recent passing of the GENIUS Act stablecoin law in the U.S., which has helped to cement their role in the financial system.
USDC Leads the Pack, But USDT Remains King of Supply
Throughout 2025, Circle's USDC has dominated on-chain transactions, accounting for between 40% and 48% of all DeFi stablecoin volume. While Tether's USDT and MakerDAO's DAI have also seen significant activity, USDC’s dominance in on-chain volume is notable. However, when it comes to total supply, USDT remains the undisputed leader with a market capitalization of $164.70 billion, more than double USDC's $63.85 billion.
Other stablecoins are also seeing impressive growth. Ethena USDe and Falcon USD (USDf) have been top performers, with USDe growing by nearly 80% and USDf by over 100% in the last month. Overall, the total stablecoin market cap has reached $268.20 billion, having doubled in the past year, with further growth expected as regulatory clarity continues to emerge. A recent move by the SEC to classify some stablecoins as cash equivalents is a step in that direction.
August 2025, Cryptoniteuae