USDT Leads $300B Stablecoin Surge Amid Record-Breaking Q3 Crypto Activity

Q3 2025, traditionally quiet, turned essentially the most lively stablecoin interval resulting from regulatory breakthroughs and investor curiosity.

The full market capitalization of stablecoins has exceeded $300 billion for the primary time in historical past this week. Genius Act and SEC accounting steering have considerably boosted confidence in stablecoins.

This, in flip, drove institutional and retail adoption in 2025.

$300B Milestone

Based on DeFiLlama, Tether (USDT) stays the dominant stablecoin because it accounts for 58.52% of the market with a valuation of $176.241 billion.  Circle’s USD Coin (USDC) follows with a market capitalization of greater than $74 billion, whereas USDe, the third-largest yield-bearing stablecoin, holds $14.83 billion.

The milestone signifies the rising prominence of stablecoins within the broader cryptocurrency ecosystem, and comes amidst market-wide restoration after a unstable week.

Traditionally, Q3 is quieter for crypto, however 2025 reversed that pattern and ended up turning into a record-breaking interval for stablecoins. Exercise surged because of each regulatory readability and rising person engagement. A report by Cex.io revealed that Google searches for “stablecoin” spiked following landmark bulletins.

As an example, the US enacted the Genius Act, whereas the Securities and Change Fee (SEC) issued new accounting steering, which categorized USD-pegged stablecoins as money equivalents. These regulatory developments boosted belief amongst each institutional and retail individuals.

Affect On USD’s World Function

The speedy progress of the stablecoin market is considerably influencing the worldwide position of the US greenback, in line with John Murillo, Chief Enterprise Officer of B2BROKER. In an announcement to CryptoPotato, Murillo stated that this surge is partly resulting from final month’s sluggish momentum in main cryptocurrencies like Bitcoin and Ether, which prompted traders and customers to show to dollar-pegged stablecoins.

You might also like:

He defined,

“With it, the worldwide footprint of the US greenback has definitely deepened, as a result of round 98% of all stablecoins are straight or not directly dollar-pegged. This has been, for higher or worse, embedding USD into decentralized finance, cross-border funds whereas serving to stabilize many inflation-hit economies. In areas like Nigeria and Venezuela, digital {dollars} now flow into extra freely than native currencies, extending the greenback’s dominance into the digital realm.”

Nevertheless, Murillo warns that this progress carries systemic dangers. The exec added that stablecoins sometimes function exterior typical banking rules, which raises questions on reserve transparency, liquidity vulnerabilities, and regulatory gaps. A sudden lack of confidence, whether or not from unclear backing or platform failures, might, actually, destabilize each crypto markets and conventional fiat programs.

Moreover, as stablecoins more and more function inside decentralized networks, they start to operate independently of US establishments, which doubtlessly limits Washington’s direct management over financial affect.

“The greenback stays dominant in type, however more and more contested in operate.”