Stablecoin trading hits $1.8T in November

Stablecoin trading volumes surged to $1.81 trillion in November, marking a 77.5% increase compared to previous months, according to a CCData report on November 27.

This significant growth positions monthly trading activity on centralised exchanges to achieve new highs for 2024.

The total stablecoin market capitalisation rose by 9.94% during the month, reaching $190 billion, surpassing the previous record of $188 billion set in April 2022.

Despite this increase, stablecoin market dominance fell to 5.54% from October's 7.22%, as investors diversified into Bitcoin and altcoins.

Tether’s USDt (CRYPTO:USDT) remains dominant, with its market capitalisation growing 10.5% to $133 billion, accounting for 69.9% of the overall stablecoin market.

Circle’s USD Coin also experienced significant growth, expanding its market cap by 12.1% to $38.9 billion, the highest level since February 2023.

Ethena Labs’ USDe stablecoin recorded the strongest performance among smaller stablecoins, with a 42.2% rise in market capitalisation to $3.86 billion.

The report attributes this to heightened interest in the Ethena (CRYPTO:ENA) ecosystem following its proposal to activate revenue sharing for Ethena token holders.

Launched in February, USDe currently offers an annual percentage yield of 21.2%, a reduction from its March high of 55.9%.

In contrast, First Digital USD (CRYPTO:FDUSD) and Sky Dollar (CRYPTO:USDS) saw declines in market capitalisation.

FDUSD dropped by 14.9% to $1.90 billion, while USDS fell by 8.34% to $950 million in November.