The primary digital greenback (FDUSD) stablecoin has overtaken Circle-issued USD Coin (USDC) because the second hottest Bitcoin pair over the previous 5 months, because of Binance’s zero-transaction charge program.
CCData’s newest stablecoin report exhibits that FDUSD’s buying and selling quantity on centralized exchanges (primarily Binance) has elevated considerably, pushing its market capitalization to a report excessive.
In January, the stablecoin’s buying and selling quantity elevated by 51.1% to $122 billion, making it the second hottest buying and selling pair behind Tether’s USDT.
The general buying and selling quantity of stablecoins on centralized exchanges elevated by 4.54% in January, reaching $1.05 trillion, the best stage since December 2021.
The rise of FDUSD
Based on the report, after america accepted the spot Bitcoin ETF, the BTC/FDUSD buying and selling pair on Binance accounted for a lot of the buying and selling quantity, turning into the most important Bitcoin buying and selling pair on the change.
The pair’s month-to-month buying and selling quantity in January was $80.8 billion, adopted by the BTC/USDT pair on Binance, which had a buying and selling quantity of roughly $60 billion throughout the identical interval.
FDUSD’s market capitalization grew by roughly 13%, reaching an all-time excessive of $2.44 billion, bringing its stablecoin market share to fifteen.6%.
FDUSD has turn into some of the widespread stablecoins in latest months because of Binance’s heavy promotion of the digital asset.
After Binance USD (BUSD) encountered regulatory woes, the cryptocurrency change urged customers to change to FDUSD and launched a number of new merchandise geared toward incentivizing using stablecoins on its platform.
USDT remains to be king
Regardless of FDUSD’s rise, Tether’s USDT nonetheless dominates the area, accounting for roughly three-quarters of the market share among the many prime 10 stablecoins.
High 10 Stablecoin Dominance (Supply: CCData) It stays probably the most dominant buying and selling pair on centralized exchanges, with a month-to-month cumulative buying and selling quantity of $241 billion.
The market worth of USDT elevated by 1.23% in February and presently reaches US$97.3 billion, setting a report excessive within the circulating provide of stablecoins. In the meantime, as of February 20, the market dominance of stablecoins was 70.6%.
JPMorgan analysts lately warned that USDT’s dominance within the cryptocurrency area could possibly be dangerous to the trade – a declare that was strongly rejected by Tether CEO Paolo Ardoino.
