Tether Extends Dominance in $259.17B Stablecoin Market as Turnover Highlights Shifting Utility Trends

• Tether leads stablecoin market with 62.38% share and $55.3B in daily trading volume.
• $USDe outpaces $DAI in volume despite equal market cap, signaling higher usage in DeFi.
• $USD1 shows highest turnover rate, trading $705.5M on a $2.2B market cap.

The total value of all stablecoins reached $259.17 billion as of July 7, 2025, comprising 7.70% of the overall crypto market. Data compiled by Phoenix Group shows that Tether ($USDT) remains the largest stablecoin in terms of both market capitalization and trading activity. $USDT’s total market cap stood at $158.6 billion, accounting for 62.38% of all stablecoins. The token also led in trading volume with $55.3 billion over 24 hours, strengthening its central role in digital asset liquidity.

USD Coin ($USDC), issued by Circle, was the second-largest stablecoin with a market capitalization of $62.0 billion. Its 24-hour trading volume was $6.2 billion, lower than Tether’s. Despite this, $USDC continues to be widely used in regulatory-compliant environments and retains stable demand from institutions, though it remains far behind $USDT in total usage.

Mid-Cap Stablecoins Show Divergent Volume Activity

These coins have the same market capitalization but are exhibiting varying degrees of use. Both $USDe and $DAI have a market cap of 5.3 billion. Nevertheless, there was virtually a huge difference in their 24 hour volumes. The trading volume in $USDe was $83.8 million, and $DAI was $19.1 million. This gap indicates different use cases, where $USDe has a higher turnover, which could be related to trading or liquidity incentives on decentralized platforms.

The highest trading volume-market cap ratio was registered within $USD1 among all studied tokens. Its market cap stood at $2.2 billion, and it produced the 24-hour trading volume of $705.5 million. The statistics show that token circulation is high even though its size is relatively small. Such activity levels may signal short-term demand patterns or arbitrage usage in active trading markets.

Several stablecoins outside the top tier also recorded measurable activity. FDUSD had a market cap of $1.4 billion and traded $4.0 million within 24 hours. PayPal’s PYUSD reached a $871.5 million market cap with $12.5 million in daily volume. USDY and USDO closed out the list with market caps of $637.1 million and $621.4 million, respectively. Their respective 24-hour trading volumes were $1.7 million and $4.2 million. Despite increasing diversification in stablecoin options, Tether remains the dominant issuer by a wide margin.