The First Digital USD (FDUSD) stablecoin has overtaken Circle-issued USD Coin (USDC) because the second-most widespread pair for Bitcoin over the past 5 months, due to the zero-trading charge program on Binance.
CCData’s newest stablecoin report revealed a big uptick in FDUSD’s buying and selling quantity on centralized exchanges — primarily Binance — which has taken its market capitalization to file highs.
The stablecoin’s quantity climbed 51.1% to $122 billion in January, making it the second hottest buying and selling pair after Tether’s USDT.
General stablecoin buying and selling quantity on centralized exchanges rose 4.54% to $1.05 trillion in January, the very best stage since December 2021.
Rise of FDUSD
Based on the report, the BTC/FDUSD pair on Binance made up a lot of the buying and selling quantity as probably the most traded Bitcoin pair on the trade after the approval of spot Bitcoin ETFs within the US.
The pair recorded a month-to-month quantity of $80.8 billion in January, adopted by the BTC/USDT pair on Binance, which noticed roughly $60 billion in quantity for a similar interval.
FDUSD’s market capitalization elevated by roughly 13% to a brand new all-time excessive of $2.44 billion, bringing its stablecoin market share to fifteen.6%.
FDUSD has emerged as one of the vital widespread stablecoins in current months due to Binance’s heavy promotion of the digital asset.
Following Binance USD’s (BUSD) regulatory struggles, the crypto trade urged its customers to pivot to FDUSD and launched a number of new merchandise designed to incentivize the stablecoin use on its platform.
USDT stays king
Tether’s USDT stays the dominant stablecoin within the sector by a big margin regardless of FDUSD’s ascent, controlling roughly three-quarters of the market share among the many prime 10 stablecoins.
High 10 Stablecoins Dominance (Supply: CCData)It stays probably the most dominant buying and selling pair on centralized exchanges, with a cumulative month-to-month quantity of $241 billion.
USDT’s market cap is up 1.23% in February and at present stands at $97.3 billion, marking a file excessive for the stablecoin’s circulating provide. In the meantime, the stablecoin’s market dominance was 70.6% as of Feb. 20.
JPMorgan analysts just lately warned that USDT’s dominance within the crypto sector may show detrimental to the business — a declare that was vehemently rejected by the Tether CEO Paolo Ardoino.
