In Q1 2025, stablecoin transaction volumes surged, surpassing that of Visa. The key drivers of this growth were USDT, USDC, and DAI.
Transaction Volume Insights
The transaction volume for stablecoins reached a record $27.6 trillion, with approximately 95% of these transactions processed on the Ethereum network. This indicates immense liquidity and activity on this platform.
Institutional Integration and Impact
During this transformative period, the roles of stablecoin providers, including USDT and USDC, have expanded significantly. The Assets Under Management (AUM) for stablecoins increased to a record $218 billion, potentially impacting U.S. Treasury holdings.
Future Developments
With the growth of stablecoins far exceeding previous years, a significant rise in DeFi liquidity and adoption of related protocols is expected to follow. This may stimulate further interest in governance tokens associated with Layer 1 and Layer 2 solutions and DeFi systems relying on stablecoins.
The surge in transaction volumes and the institutional adoption of stablecoins underline their place in the traditional financial system and open new horizons for digital assets.
