Stablecoin market capitalization skyrocketed and peaked in nearly two months

Stablecoin market capitalization skyrocketed and peaked in nearly two months

By HenryDo | CRYPTO CAPICAL | 4 Sep 2020


The growth of DeFi protocols and increased demand for tokens among liquidity pools can contribute to a sharp increase in the supply of stablecoins.

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According to a tweet on September 3 by Coin Metrics co-founder Nic Carter, said that stablecoins like Binance USD (BUSD), Dai (DAI), HUSD, Paxos Standard Token (PAX), USD Coin (USDC), USDK, Tether (USDT), USDT_ETH and USDT_TRX have had outstanding growth in nearly two months.

"Everyone seems to be very excited about DeFi, but nobody notices that the stablecoin market cap has increased by more than $ 100 million per day since mid-July," Carter said.

"DeFi's yield / interest rate is clearly a vacuum that sucks a lot of stablecoins."

Bitcoin

The market cap of stablecoins has skyrocketed over the years

Stablecoins, popular among the tokens used in liquidity pools for DeFi protocols, have come out in larger numbers than ever before this year and offer growing yields in the competition to attract locked funds.

DAI and USDC are also the most lent and borrowed stablecoins in the Compound protocol and are also the most borrowed stablecoins in the Aave.

However, Tether still holds 80% market share in the stablecoin market. According to data from CoinMarketCap, Tether's total market capitalization has increased from $ 9.2 billion on July 15 to more than $ 13.7 billion as of today, up almost 50 percent.

USDT's trading volume has grown by around 150% over the same period, from $ 21.9 billion to over $ 54 billion so far.

The growth of stablecoins has attracted a lot of attention. "Stablecoins can bring a number of benefits to UK investors," said Andrew Bailey, Governor of the Bank of England.

But he also said that for stablecoins to develop in the long term, cooperation from countries is required. There must be standards equivalent to existing ones and the need for coordinated international regulations on stablecoins.

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HenryDo
HenryDo

Hôm nay tôi làm những thứ người khác không chịu làm. Để sau này tôi có những thứ người khác không có


CRYPTO CAPICAL
CRYPTO CAPICAL

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