Ethereum Dominates Stablecoin Market in 2025: Tron and Solana Still Playing Catch-Up

Ethereum isn't just leading the stablecoin race—it's lapping the competition.

While Tron and Solana have made headlines with their speed and low fees, they remain distant contenders in the critical battle for stablecoin supremacy. The network effect, developer ecosystem, and sheer volume of value settled on Ethereum continue to create a moat that's proving difficult to cross.

The High-Stakes Game of Digital Dollars

Forget trading memecoins—the real money in crypto is in moving digital dollars. Stablecoins represent the plumbing of the decentralized financial system, and where they settle dictates where liquidity pools, lending protocols, and trading activity flourish. Ethereum's established infrastructure acts as a gravitational pull, keeping the lion's share of this essential activity on-chain.

Why Rivals Are Still on the Back Foot

Tron carved a niche with ultra-low transaction costs, attracting a significant volume of USDT transfers. Solana promises blistering speed and scalability, winning over developers building the next generation of apps. Yet, neither has managed to dismantle Ethereum's first-mover advantage in the stablecoin arena. Fragmentation across chains creates friction, and users often default to the chain with the deepest liquidity and most proven security—traits Ethereum has spent years cementing.

It's a classic network effect: more stablecoins attract more applications, which in turn attract more users and more stablecoins. Breaking that cycle requires more than just technical specs; it demands a seismic shift in user behavior and developer momentum.

The Bottom Line for the Future of Finance

This isn't just a technical showdown; it's a battle for the soul of the financial rails. The chain that ultimately hosts the most trusted and widely used stablecoins will wield enormous influence over the future of global finance. For now, Ethereum holds the keys to the kingdom, forcing rivals to innovate not just on technology, but on the harder task of building unstoppable economic momentum. After all, in finance, the best technology doesn't always win—just ask anyone who's tried to explain a blockchain to a traditional banker.

Stablecoin liquidity battles intensify among Layer 2 networks 

Data from the on-chain data explorer Growthepie shows that Arbitrum One follows Ethereum with a stablecoin supply of $7.84 billion. The L2 network’s stablecoin supply has witnessed a 1.2% decline WoW but has grown by 45% YoY.

Base Chain claims the third position with a stablecoin supply of $4.53 billion, a 1% increase WoW, and a 31% growth rate YoY. Mantle claims the fourth spot with $668.42 million, with a steady growth rate of 147% YoY and a slight 2.1% drop WoW. 

However, not all L2 networks have witnessed growth YoY. OP Mainnet ranks fifth with a stablecoin supply of $548.79 million. The network’s stablecoin supply has declined by 7.6% WoW, bringing its YoY decline to 55.2%. Celo’s supply has also dipped by 27.9% YOY to $184.22 million as per the blockchain explorer. 

Ethereum also leads other networks in stablecoin supply. According to data from Token Terminal, a blockchain metrics provider, Ethereum has a stablecoin supply of $184.8 billion.

Tron claims the second position with a stablecoin supply of $78.5 billion, while solana trails in third place with a supply of $14.4 billion. The data also shows that the stablecoin supply reached an all-time high of $283.2 billion.

Cryptopolitan reported that the sudden surge in stablecoin supply is attributed to new regulations from the TRUMP administration. President Trump signed the GENIUS Act earlier, providing regulatory clarity for stablecoins. CEO of MNEE Ron Tarter referred to the reform as a “green light” for corporate companies in the U.S. to infiltrate the industry.

Data from crypto data aggregator CoinMarketCap shows that the market capitalization of Tether’s stablecoin USDT has reached an all-time high of $184.79 billion and has been on a steady increase since November 22. USDT is the world’s largest stablecoin by market cap.

Stablecoin growth likely credited to new U.S. regulations. 

A publication issued by The WHITE House in mid-July this year highlighted that the Act will ensure stablecoins play a crucial role in ensuring the continued global dominance of the U.S. dollar as the world’s reserve currency. The act requires stablecoin issuers to back their assets with Treasuries and U.S. dollars. The publication also explained that the act will increase crypto-related activities in the country by providing regulatory clarity for institutions. 

The MOVE aligns with Trump’s long-term vision to make the U.S. the global crypto capital, a promise he made to Americans during his presidential campaign. Trump signed an executive order in his first week in office to promote the U.S.’s leadership in the crypto ecosystem. 

In Europe, new reforms for stablecoin development are also taking shape. Ten major banking giants have united to FORM a regulated, euro-pegged stablecoin.

The alliance will operate under the EU’s Markets in Crypto-Assets (MiCA) regulatory framework and plans to launch the stablecoin in the second half of 2026. The banks involved in Qivalis include ING, CaixaBank, DekaBank, BNP Paribas, Danske Bank, KBC, UniCredit, SEB, Banca Sella, and Raiffeisen Bank International.

The bank-issued stablecoin will operate on decentralized blockchain networks, unlike conventional payment systems. The stablecoin will be available for individual and corporate cross-border settlements after licensing agreements and regulatory approvals are completed.

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