Overview
- Total dollar-pegged stablecoin supply exceeded $300 billion after roughly $100 billion of new issuance in 2025, with primary reporting on this growth published May 19–20, 2026.
- Tether’s USDT now holds an estimated 58–63% of supply, giving it a single-issuer size roughly equal to the whole market earlier in 2025 and leaving Tether and Circle controlling about 90% of circulating stablecoins.
- The Bank for International Settlements warns that even reserve portfolios heavy in short-dated U.S. Treasury bills may fail to meet demand during a rapid, large-scale redemption because selling speed and market impact can outpace conversion to cash.
- Regulators in the United States and Europe are advancing proposals to require bank-like controls for issuers, including tighter reserve standards, audits, and possible redemption limits to address systemic and liquidity risks.
- Non-dollar stablecoins remain marginal at roughly 0.2–0.24% market share, a gap driven by deeper dollar liquidity, tokenized U.S. Treasuries on-chain, and network effects that favor long-established issuers.