The stablecoin market has undergone a sharp expansion over the past year, with total supply climbing 72% to nearly $300 billion, according to data analytics platform Artemis.
Much of that growth has been concentrated on Ethereum and Solana, with the recent launch of Plasma marking a milestone. More than $6 billion in stablecoins were issued on the network in its first week, setting a record for a new chain debut, Artemis said in the Wednesday report.
Stablecoins are cryptocurrencies whose value is tied to another asset, such as the U.S. dollar or gold. They play a major role in cryptocurrency markets, providing a payment infrastructure, and are also used to transfer money internationally. Tether’s USDT is the largest stablecoin, followed by Circle’s USDC.
The dominance of Tether’s USDT and Circle’s (CRCL) USDC remains clear, as the two tokens continue to account for more than 85% of the market, the report said. However, their grip has loosened slightly as competition intensifies from emerging issuers and new platforms.
The surge isn’t just about supply. A broadening set of use cases that reflect stablecoins’ expanding role in the financial system, Artemis said. One example is USD AI, which has introduced a model allowing deposits to fund GPU loans for artificial intelligence (AI) companies, turning stablecoin holdings into a private-credit-like yield instrument.
Plasma’s massively oversubscribed issuance underscores how quickly new networks can bootstrap liquidity, the report said, while MiniPay’s growth on Celo signals a rebound in retail adoption, with transaction volumes rising sharply in 2025.
That widening utility is also blurring the line between stablecoin platforms and banks. Artemis noted that Squads now secures over $2 billion in assets, representing 15% of Solana’s total stablecoin supply. Meanwhile, RAIN’s Series B round is helping expand card-linked stablecoin spending, which is closing in on $1 billion.
Even centralized exchanges are starting to resemble neo-banks, with platforms like Binance, OKX and Coinbase (COIN) offering payment rails, debit cards, and savings tools anchored in stablecoins, the report added.
Artemis framed this shift as part of a broader structural evolution. Stablecoins are no longer just a tool for crypto traders, but an emerging financial layer that increasingly mirrors core banking functions.
Read more: Stablecoins Will Disrupt Cross-Border Payments, Investment Bank William Blair Says
