Results for: Stablecoins

Stablecoins have surged to an all-time high of $170 billion in circulation, with monthly settlement volumes tripling to $1.4 trillion. This explosive growth highlights their increasing importance in both the crypto ecosystem and traditional finance. Tether USDT/USD dominates with $120 billion in circulation, while Robinhood’s recent acquisition of Bitstamp signals its commitment to stablecoin integration. Emerging markets are driving adoption as young people seek stable stores of value, leading to significant growth in stablecoin wallets despite volatile crypto markets.

Despite concerns about their limited use and survival, a wave of new stablecoins is being launched by tech companies, cryptocurrency firms, and even a state. This surge suggests growing confidence in crypto’s potential for everyday payments, but experts question their ability to compete with established players like Tether and Circle USDC.

Former President Donald Trump’s new cryptocurrency project, World Liberty Financial (WLFI), has outlined its ambition to solidify the US dollar’s supremacy through the mass adoption of dollar-pegged stablecoins. The project, which has garnered significant attention, aims to create a global settlement layer for the next century by utilizing stablecoins as a foundation.

The SEC is expressing potential opposition to FTX’s plan to repay creditors using stablecoins, citing concerns about the legality of these transactions under federal securities laws. The regulator also highlighted the lack of a designated distribution agent for the stablecoin payments. This comes after FTX’s approved restructuring plan promised up to 118% repayment to creditors, a rare outcome in U.S. bankruptcies.

Ethereum co-founder Vitalik Buterin’s recent transfer of 800 ETH, followed by the conversion of a portion into stablecoins, has fueled market speculation about a potential selloff. This move, combined with other recent transfers and Buterin’s history of significant donations, has raised questions about the purpose of these transactions and their potential impact on the Ethereum market.

Russia is gearing up to launch two major cryptocurrency exchanges in Moscow and St. Petersburg as part of its strategy to boost foreign economic activity and reduce reliance on the US dollar. The initiative includes plans for a stablecoin pegged to the Chinese yuan, further strengthening economic ties within the BRICS nations. While the exchanges aim to primarily focus on stablecoins, they face significant challenges, including legal uncertainties and potential risks associated with international sanctions.

Following a successful ‘event’ over the weekend, cryptocurrency-related stocks experienced significant gains on Monday afternoon. Notable performers included MicroStrategy, Coinbase, and mining companies like Riot Platform and Hut 8 Corp.