Stablecoins demonstrated remarkable resilience in November, with trading volumes on centralized exchanges (CEX) exceeding $1.8 trillion. Tether (USDT) accounted for an overwhelming 70% of this activity, highlighting its dominance in facilitating liquidity across markets. The surge in stablecoin usage was accompanied by a milestone in the broader stablecoin ecosystem, as the total market capitalization surpassed $190 billion—a record high following 14 consecutive months of growth.
USDT continues to serve as the backbone of the stablecoin market, with its presence on Ethereum and TRON networks driving liquidity in significant proportions. As of November, TRON held over $8.5 billion worth of USDT balances on CEXs, while Ethereum-based USDT reached nearly $22.7 billion. Such figures underscore the strategic role of these networks in catering to traders and investors who rely on stablecoins for quick, cost-efficient transactions.
The robust growth trajectory of stablecoins can be linked to their increasing adoption for purposes beyond trading, including decentralized finance (DeFi) and cross-border payments. Analysts point to the ongoing efforts by Tether and other issuers to expand usability and trust. The alignment of stablecoin development with regulatory compliance in key regions also bolstered investor confidence.
Market participants have highlighted that the resilience of stablecoins reflects their utility in volatile crypto markets. They act as a hedge for traders during turbulent periods, offering stability that is otherwise rare in the digital asset ecosystem. As the overall cryptocurrency market fluctuates, stablecoins’ capacity to maintain pegged values ensures their continued demand.
Despite Tether’s dominance, competitors such as USD Coin (USDC) and Binance USD (BUSD) have shown gradual but noteworthy participation in the growth narrative. Collectively, these assets reinforce the expanding footprint of stablecoins across different facets of the financial system.
Arabian Post – Crypto News Network
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