Stablecoin announcements seem to go in waves. There are a flurry of them rolling out, then silence.
We appear to be in a time where the announcements are hitting. Today, I am going to cover a couple of announcement that show where the stablecoin market is heading.
There is no way to deny that stablecoin adoption is growing. We are seeing the dual impact of more stablecoins on the market along with an increase in transactions.
The third quarter was the most active ever, based upon the dollar amount of transactions.
Stablecoins had their most active quarter ever in Q3 2025, adding $45 billion in supply and surpassing $15.6 trillion in onchain transfers. Institutional and retail demand soared amid new regulations, record DeFi activity, and rising global adoption.
The $45 billion was an 18% increase in the quarter. That is a significant jump. However, we have to kep in mind that some predictions have the stablecoin market growing into the trillions. Personally, I see $2T-$3T as a good target in the next few years.
We did see an interesting twist to the story.
The surge was powered by USDT, USDC, and USDe, which accounted for 84% of new issuance. Despite U.S. restrictions on yield-bearing tokens under the Genius Act, USDe and Paypal’s PYUSD were the fastest-growing assets, rising 173% and 152%, respectively. Much of this growth stemmed from decentralized finance (DeFi) strategies and cross-chain integrations through networks like Layerzero’s Stargate Hydra.
Perhaps it is worth watching this. The growth if yield bearing stablecoins grew at the fastest pace. My guess is we will see this also explode during 2026.
I wrote a great deal about the future of Ethereum. We are seeing a lot of attention being paid to the network as Ethereum Treasury companies are emerging.
As covered in a number of articles, Tom Lee is at the forefront of this. BitMine now has over 2.5% of the Ethereum supply. The goal is to reach 5%, something that will likely be attained.
One of the theories that Lee is operating under is the fact that stablecoin and RWA will be on Ethereum. His belief is that institutions prefer this network over other chains. Based upon the past quarter's stablecoin data, this appears to be the case.
Ethereum re-emerged as the dominant network, hosting 69% of all new stablecoin issuance after retaking share from Tron, which saw a rare supply contraction. Layer 2 networks like Arbitrum also surged, fueled by perpetual trading platforms and liquidity migration.
The fact that new issuance is heading towards Ethereum at a rate faster than the rest feeds into the idea that we will see more activity relating on this network.
Over the Summer, the United States Congress passed the GENIUS Act. This was signed into law by the President, a move touted as changing the entire landscape.
With regulatory clarity, institutions could start to make decisions regarding the expansion of the market.
One entity is already doing that.
Anchorage Digital Bank announced it has onshored Ethena Labs’ USDtb, the first stablecoin to operate under direct U.S. federal oversight. The launch establishes Anchorage Digital as the sole issuer of USDtb, bringing the stablecoin fully under the supervision of the Office of the Comptroller of the Currency (OCC).
The “made-in-America” stablecoin is designed for federal compliance and is built to circulate transparently within the U.S. financial system. The development follows a partnership announced earlier this year between Anchorage Digital and Ethena Labs, focused on integrating regulated stablecoin infrastructure into mainstream banking channels.
This is the start of integration of stablecoins into the banking system. Here is where we will likely see a massive explosion. As the banks roll out their own coins, the number of transactions will increase simply due to the fact that regular payments will be shifted to these tokens.
