Tag: Stablecoin

What is the U.S. dollar’s role in stablecoin ecosystems?

Stablecoins have seen explosive growth in the last four years, increasing from a $17.6 billion market capitalization to $170.6 billion. The number of holders has also skyrocketed from 3.78 million to 119.72 million. However, this growth brings critical questions. How safe is it to hold stablecoins? How secure are the assets backing stablecoins? Could stablecoins pose a threat to traditional banking systems, and how might governments react to such competition? Total market value of stablecoins by asset | Source: RWA.xyz These are essential questions, yet they are often ignored. The…

Tether-Issued Stablecoin USDT’s Market Dominance Surges as Market Cap Surpasses $118B

Stablecoins, cryptocurrencies whose price is meant to be pegged to a real-world asset such as a national currency or gold, are key pieces of plumbing for the crypto market, serving as a bridge between fiat money and digital assets. They are increasingly popular for non-crypto activities in emerging regions like Latin America and Southeast Asia, with uses ranging from saving in dollars, payments and cross-border transactions, a fresh report by venture capital firm Castle Island and hedge fund Brevan Howard Digital said. Source

DeFi protocol Euler Finance announces launch of new stablecoin Maxi

Decentralized finance lending platform Euler Finance has introduced a new hybrid token called Maxi. Euler Labs, the team behind the decentralized finance lending protocol on Ethereum (ETH), announced the development on Sept. 16. Maxi, as the platform explained in a post on X, is a bespoke lending product designed to offer its users greater capital efficiency. A stablecoin backed with range of assets Maxi is a stablecoin whose key features include a blend of assets and cross-collateralization for both capital efficiency and risk mitigation, Euler Finance posted. In terms of…

Stablecoin inflows surge, investors rush to buy Bitcoin, altcoins

boss

Crypto investors have started depositing stablecoins in centralized exchanges, showing potential bullish momentum for Bitcoin and altcoins. According to data provided by Santiment, the total exchange net inflow of the top three stablecoins — Tether (USDT), USD Coin (USDC) and Dai (DAI) — reached $141.2 million in the past 24 hours. BTC price, stablecoin exchange net flows – Sept. 10 | Source: Santiment USDT alone saw a net inflow of $101.95 million, followed by USDC’s $34.87 million, per data from Santiment. DAI, the third-largest stablecoin by market cap, recorded an…

Largest Japanese Banks to Use SWIFT-Linked Stablecoin System for Cross-Border Payments

The largest Japanese banks—MUFG, SMBC, and Mizuho—plan to use a stablecoin-based system to facilitate cross-border payments in the future. The initiative, Project Pax, replaces correspondent banks with blockchain technology, linking it to SWIFT to allow users to initiate payments conventionally using regular banking rails. Japanese Banks Aim to Ditch Intermediaries for Blockchain-Based Stablecoin System Traditional […] Source CryptoX Portal

Market maker DWF Labs hints at synthetic stablecoin

Crypto market maker DWF Labs has plans to launch a stablecoin product that may compete with Ethena’s USDE. According to Andrei Grachev, co-founder of DWF Labs, the crypto trading and market-making startup has finalized the design for its synthetic stablecoin. Synthetic stablecoins operate on a soft peg with fiat currencies like the U.S. dollar and are underpinned by collateral assets like Bitcoin (BTC) and other assigned cryptocurrencies. To maintain parity, synthetic stablecoins rely on opening and closing short-leveraged positions for the underlying collateral. While supposedly decentralized, this design could introduce…