#BigTechStablecoin A total capitalization of the stablecoin market has increased substantially, recently surpassing US$ 200 billion, according to data collected by DefiLlama.

The demand for stablecoins has steadily increased over the past year as the cryptocurrency market recovered from recent lows, with a significant uptick following Donald Trump's victory in the US elections.

Stablecoins serve as a bridge between cryptocurrencies and fiat currency, and enjoy growing popularity in developing countries. In countries with unstable currencies and less developed banking systems, stablecoins can serve as a safe asset and an affordable, low-cost payment method. Sometimes, stablecoins can also serve as a place for participants in the digital asset market to park excess funds between investments.

This trend becomes clear when considering the relative market capitalizations of the two largest stablecoins (USDT and USDC) compared to the two largest public cryptocurrencies (BTC and ETH). As the broader cryptocurrency asset market declines, the share of stablecoins in the market relative to cryptocurrencies in general tends to increase significantly.