COINOTAG highlighted that the recent IPO of Circle, the issuer of the stablecoin USDC, on June 11 in the U.S., has reignited investor focus on the stablecoin market. Currently, Tether (USDT), issued by Tether Limited under iFinex, dominates with a market cap near $155.2 billion, backed by U.S. dollar cash and short-term Treasury bonds. USDC, fully managed by Circle post its initial Coinbase partnership, holds approximately $60.9 billion in market value, similarly collateralized by cash and Treasury securities.
The stablecoin landscape also includes USD1, launched by WLFI, a Trump family crypto initiative, with a market cap around $2.2 billion, secured by short-term U.S. Treasury bonds. Hong Kong-based First Digital’s FDUSD targets the Asian market, emphasizing regulatory compliance and backed by dollar cash equivalents, valued at roughly $1.5 billion. Meanwhile, PYUSD, issued by PayPal and Paxos Trust Company under NYDFS approval, maintains a market cap near $1 billion, collateralized by dollar deposits and Treasury bonds.
Additional U.S. dollar stablecoins such as TUSD, RLUSD, and USDP each hold market caps below $1 billion. Notably, Tether and Paxos have introduced gold-backed tokens, XAUT and PAXG, respectively, each representing one ounce of London gold, with market capitalizations of approximately $830 million and $1 billion. These developments underscore the diversification and evolving collateral strategies within the stablecoin sector.