Ethereum Solidifies Its Central Role In Global Stablecoin Market
Ethereum: The Steadfast Pillar Of The Multi-Billion Dollar Stablecoin Economy
The Ethereum ecosystem continues to assert its indispensable position in the world of digital finance, particularly within the stablecoin sector. Holding hundreds of billions of US dollars in "digital dollars," Ethereum is not merely a smart contract platform but is also emerging as a global settlement layer for tokenized assets.
According to the latest data (early November 2025), Ethereum has surpassed $165 billion in stablecoins on its blockchain. Some reports even indicate this figure has exceeded $184 billion, marking a growth of over $100 billion since January 2024. This impressive sum not only outpaces the foreign exchange reserves of several nations like Singapore and India but also solidifies Ethereum's position among the world's largest foreign exchange reserves, ranking approximately 22nd globally.
Ethereum's Dominance In The Stablecoin Market
Ethereum maintains an undisputed leading position in the global stablecoin market. As of September 2025, the network commands approximately 57% of the total stablecoin supply worldwide. Some mid-2025 analyses even estimate Ethereum accounts for about 65.4% to 70% of the total stablecoin supply across various blockchains.
The growth of stablecoins on Ethereum has been remarkable. In just one week in September 2025, the stablecoin supply increased by nearly $5 billion, equivalent to roughly $1 billion per day. The stablecoin supply on Ethereum has more than doubled since January 2024. Even when faced with increasing competition, Ethereum continues to demonstrate strong capital absorption capabilities and maintain its leading position.
The Competitive Landscape And Key Stablecoins
While Ethereum dominates, other blockchains are also showing significant growth. Tron ranks second with a 27% market share as of September 2025, and recorded a 21.6% growth in 2024, with Tether (USDT) accounting for 98.3% of stablecoins on its network. Solana trails with less than 4%. Other chains such as BNB Chain (2.9% market share in September 2024), Arbitrum, Polygon, and Avalanche also contribute to the diverse stablecoin landscape.
Notably, Base, a network launched by Coinbase, saw the largest stablecoin supply growth, soaring by 1,941.5% from January to September 2024, adding $3.4 billion and boosting its market share from 0.1% to 2.1%. This highlights the dynamic and constant competition within the blockchain space.
The primary stablecoins on Ethereum remain USDC and USDT. In February 2025, Ethereum hosted $35 billion worth of USDC and $67 billion of USDT. More recently, in October, USDC led with a monthly transaction volume of $1.62 trillion, followed by USDT with $895.5 billion. MakerDAO's DAI ranked third with $136 billion in monthly transaction volume.
Transaction Volume And Diverse Applications
Ethereum's dominance is reflected not only in its total supply but also in its immense transaction volume. The monthly stablecoin transaction volume on Ethereum reached a record high of $2.82 trillion in October, a 45% increase from the previous month. This surpasses the prior all-time high of $1.94 trillion set in September. Globally, on-chain stablecoin transaction volume exceeded $8.9 trillion in the first half of 2025.
Stablecoins play versatile and essential roles within the Ethereum ecosystem. They are utilized as collateral, settlement instruments, and digital reserve assets. Crucially, stablecoins are the backbone of decentralized finance (DeFi), facilitating lending, borrowing, and trading without intermediaries. The total value locked (TVL) in DeFi in 2025 reached approximately $123.6 billion, with stablecoins contributing about 40%. The number of active stablecoin wallets has also increased by over 50% year-over-year.
Furthermore, Ethereum's influence extends to tokenized real-world assets (RWAs). Data indicates that tokenized gold on Ethereum reached $2.4 billion this year, more than doubling last year's level. When including Layer 2 networks like Polygon, Ethereum and its ecosystem capture nearly 97% of the tokenized commodities market. The platform also leads in digitized government debt, particularly U.S. Treasuries, which have become the fastest-growing asset class on-chain.
Conclusion: The Future Of Ethereum In Digital Finance
The monumental accumulation of stablecoins on Ethereum, coupled with increasing transaction volumes and diverse applications, illustrates growing confidence in its infrastructure as a foundational component of digital finance. Analysts forecast the stablecoin market could expand from $300 billion to $2 trillion, with Ethereum powering over half of all issued stablecoins. Despite challenges such as the migration of transaction volume to Layer 2 solutions to reduce congestion, Ethereum remains a robust pillar, playing a critical role in shaping the future of digital finance and bridging traditional finance with blockchain.
Disclaimer: The content above reflects the author's personal views only and does not represent any official stance of Cobic News. The information provided is for reference purposes only and should not be considered investment advice from Cobic News.