ERC-20 Stablecoin Supply Hits $121B as Global Use Accelerates

• Stablecoin supply growth reflects increasing demand in crypto and DeFi.
• Regulatory alerts signal rising risks tied to unlicensed crypto schemes.

The total ERC-20 stablecoin supply has reached an all-time high of $121 billion, marking a significant moment in the crypto economy. Data from CryptoQuant indicates that the supply has surpassed all previous records and is now totaling $121 billion. 

This growth has been accelerating since early 2020. The supply peaked in mid-2022, declined briefly, and began rising again in 2023. In 2025, it surpassed earlier highs, showing strong market resilience.

Analyst Darkfost noted that exponential moving averages (EMAs) from 7 to 365 days all show an upward trend. This suggests sustained growth and demand for stablecoins across various blockchain-based applications. 

Stablecoins such as Tether (USDT), USD Coin (USDC), and DAI continue to dominate the market with a consistent $1.00 peg.

Tether, USDC, and DAI Lead Market Activity

Tether (USDT) remains the most dominant stablecoin, with a market capitalization of $158.7 billion and the highest daily trading volume. USDC follows with a $62 billion market cap, while DAI holds $5.36 billion. These assets play a central role in decentralized finance (DeFi), crypto trading, and global payments.

Their utility lies in offering stability in volatile markets, enhancing liquidity, and enabling seamless value transfers on blockchain networks. The continued increase in supply reflects both institutional and retail use, with growing applications in lending, staking, and cross-border payments.

Shenzhen Authorities Warn Against Stablecoin-Linked Scams

In a Press release on July 7, Shenzhen’s Municipal Task Force for Preventing and Combating Illegal Financial Activities warned about scams involving stablecoins. The statement highlighted that illegal groups are promoting “virtual currencies” under the pretense of financial innovation. These schemes often involve fraud, illegal fundraising, and money laundering.

The task force emphasized that such entities are not licensed to collect funds from the public and breach national financial laws. Citizens were urged to remain alert and avoid deceptive claims. Authorities encouraged reporting of suspicious activity, offering rewards for valid tips.

The record-high ERC-20 stablecoin supply signals expanding adoption but also comes with increased regulatory scrutiny. While blockchain finance continues to evolve, global oversight and user awareness remain key to minimizing risks.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.