TL;DR
- July settlement volumes surpassed $1.5 trillion, marking the highest monthly record since data collection began and reflecting growing use across DeFi protocols.
- Circle USD Coin commanded between 40% and 48% of stablecoin settlement volume in July, with Tether USDT and MakerDAO’s DAI accounting for the remainder.
- Total stablecoin supply climbed to $368 billion by the end of July, driven by a 3.28 percent monthly increase in USDT supply and growth of Circle’s USDC.
Stablecoin markets achieved new milestones in July as settlement volumes eclipsed $1.5 trillion and overall supply climbed to $368 billion. Data from Sentora indicates that July on-chain settlement reached a record high, surpassing previous peaks in April and May. Meanwhile, the total stablecoin market capitalization has doubled over the past year, reflecting stronger demand for fiat-pegged tokens across decentralized finance and cross-border transactions.
Monthly onchain stablecoin volume hit a new all-time high last month, settling more than $1.5 trillion for the first time#StablecoinSummer
🔗https://t.co/HLkHwOXRCM pic.twitter.com/QATIX9jxNg— Sentora (previously IntoTheBlock) (@SentoraHQ) August 5, 2025
Record-Breaking Settlement Volumes
Dollar-pegged tokens settlement volumes surpassed $1.5 trillion in July, marking the highest monthly total since data collection began. This figure eclipsed the $1.44 trillion recorded in April and the $1.39 trillion peak in May. The surge reflects growing use of stablecoins for payments, trades, and collateral in DeFi protocols, as activity accelerated across decentralized exchanges, lending platforms, and token bridges.
USDC Solidifies Top Spot
Circle USD Coin maintained its dominance in on-chain activity, commanding between 40% and 48% of stablecoin settlement volume throughout July. Tether USDT trailed with approximately 20% to 27%, while Sky’s USDS captured between 17% and 33% of transactions. Together, these three tokens accounted for over 90 percent of monthly on-chain stablecoin settlement, highlighting their central role in DeFi market operations.
Market Cap Reaches $368 Billion
Total circulating supply of all stablecoins climbed to $368 billion by the end of July, driven by a 3.28% monthly increase in USDT supply to $164.7 billion. Circle’s USDC rose to $63.85 billion, while alternative tokens such as Ethena USDe and Sky Dollar USDS held supplies of $9.52 billion and $4.87 billion, respectively. Sky’s USDS market cap expanded to $4.33 billion, contributing to the ecosystem’s deeper liquidity and capital efficiency.
Regulatory Clarity and DeFi Expansion
Legislative advancements such as the GENIUS Act and recent SEC guidance classifying fully backed USD stablecoins as cash equivalents have boosted confidence among institutional and retail users. DeFi protocols saw a three percent rise in total value locked, reaching $137.33 billion, fueled by renewed interest in Ethereum staking and lending.
Analysts anticipate that stablecoins will play an even larger role as on-chain rails for seamless, efficient payments, tokenized asset settlements, and cross-border transfers.
