Dollar-Pegged Cryptos Feeling the Pinch as Supplies Shrink Steadily
In the past ten days, the stablecoin economy has seen a significant decline of $890 million, dropping from $128.21 billion to today’s $127.32 billion. This decrease in value has been a trend since the start of 2023.
- The stablecoin economy was worth $135.08 billion on March 26, 2023.
- Over the past 108 days, $7.76 billion has been removed from the dollar-pegged token economy.
- Tether (USDT) experienced a slight drop of 0.3% in supply.
- USD Coin (USDC) saw a reduction of 3.9% in supply.
- Makerdao’s DAI experienced a 5.6% reduction in supply.
- Binance USD (BUSD) witnessed a significant drop of 16.7% in supply.
- TrueUSD (TUSD) supply is still up 41.7% for the month but has dropped below the 3 billion range to 2.88 billion tokens.
- The stablecoin economy recorded $26.42 billion in global trade volume in the past 24 hours.
With a supply drop of 16.7%, BUSD’s approximate supply is now under the 4 billion range, currently at 3,997,265,401 tokens. Notably, Binance holds 3,623,828,575 BUSD in six different wallets.
Additionally, out of the 2.88 billion TUSD tokens in circulation, Binance controls 2.45 billion TUSD, representing 85.06% of the supply.
Hot Take:
The decline in the stablecoin economy, particularly for dollar-pegged cryptocurrencies, is concerning. The reduction in supply for major stablecoins like USDT, USDC, DAI, and BUSD indicates a decrease in demand. However, it’s worth noting that TUSD has shown an increase in supply. The dominance of Binance in holding a significant portion of BUSD and TUSD raises questions about centralization and control within the stablecoin market. As the stablecoin economy continues to fluctuate, it will be crucial to monitor its impact on the broader cryptocurrency market.
By
By
By
By
By