Over time, stablecoin backed by the US dollar has dominated the wider market, but with time, stablecoin backed by other assets and commodities has been seen entering the market.
It is worth noting that, in the near future, there are higher chances of new stablecoins backed by gold, euro, and other valuable assets.
Reeve Collins, Tether’s co-founder, told a leading media outlet, “The stablecoin definitely helps preserve the dollar dominance, especially in the crypto space. The dollar is a kind of reserve currency in crypto. But now other currencies are coming into play. But more importantly, it’s not currencies. It’s another type of backing.”
U.S dollar-backed stablecoins expanding their global dominance
Collins quotes while talking to CoinTelegraph that stablecoins backed by assets other than the U.S dollar are expected to create a huge competition by bringing higher yields for users.
He quotes, “ When you can back it with money market funds, for instance, that generate a higher yield than T-bills and other things like that that are coming onchain, where there’s a lot of yield that will be generated. Those will take precedence.”
According to LinkedIn data, Reeve Collins is the Co-Founder and Chairman of Pi Protocol, the Co-Founder and Board Member of WeFi, and the chairman and co-founder of SuperSol.
Stablecoin market overview
About $414 million, or 28.6%, of the $1.45 billion non-USD stablecoin market capitalization as of January 2023 was made up of euro-backed stablecoins. Compared to USD stablecoins, adoption has been constrained by weaker liquidity, fewer trading pairings, and lower market interest.
Dominant USD stablecoins compete with euro stablecoins, which need more extensive exchange support and regulatory structures in order to grow.
The stablecoin market value increased by 80.7% from $130 billion in early 2024 to $235–239 billion as of April 2025.
According to data from CoinMarketCap, the market capitalization of the wider stablecoin market is $239 billion, and the volume was $ 82,171,124,367.
In terms of market capitalization, Tether (USDT) stands at the top with a cap of $148.30 billion, and its volume is $68.04 billion. The cap of USDC is $62 billion, which makes it the 2nd most prominent stablecoin of the market.
Yet stablecoins like PYUSD, USDe, Dai, TUSD, and USDD continued to expand their presence in the market, with the growing trend and adoption of crypto.
Crypto market price updates
When writing, the crypto market cap was $2.98 trillion with a surge of 4.09% in a week, and the crypto fear and greed index was at 53, indicating a surge in neutrality.
Bitcoin is exchanging hands at $94,808 with a surge of 7.51% in a week, and its market cap is $1.88 trillion, and trading volume is $31.2 billion with a surge of 56.80%.
According to CoinMarketCap, Virtual Protocol, Solayer, Flare, Theta Network, Nexo, Story, and XDC Network rule the intraday gainers list.
