Behind the Trillion-Dollar Stablecoin Transfer Volume: Where Does the Real Demand Come From?

Author: Tanay Ved; Compiled by: Baihua Blockchain. The annualized turnover rate for every $1 of USD Coin ($USD Coin(USDC.CC)$) supply reaches as high as 741 times, tenfold that of Tether ($泰达币(USDT.CC)$) (74 times), despite USDT’s market capitalization exceeding that of USDC by over $100 billion. The high turnover of USDC is driven by DeFi infrastructure across various public blockchains, such as liquidity pool rebalancing on Base and flash loan arbitrage on Ethereum ($以太坊(ETH.CC)$).

PANews09:00

Express News | World Liberty Financial, a crypto project affiliated with the Trump family, has received conditional approval to establish a trust bank.

On August 16, World Liberty Financial announced that the U.S. Office of the Comptroller of the Currency (OCC) had granted preliminary conditional approval for the establishment of World Liberty Trust Company (WLTC), a national trust bank. The bank is intended to specialize in stablecoin services and will be responsible for the issuance and redemption of the USD1 dollar-pegged stablecoin, management of reserve assets, and digital asset custody for institutional clients. World Liberty Financial maintains close ties with the Trump family. When the company was founded in 2024, it involved participation from members of the Trump family and the Witkoff family, among others. Donald Trump himself is listed as an "Honorary Co-Founder," and his son is also involved in the company's operations.

BreakingsAug 16 15:08

a16z: The era of stablecoins is bringing the dollar-based financial system onto the blockchain.

Stablecoins are evolving from payment tools into gateways for dollar accounts and on-chain financial services.

BlockBeatsApr 28 11:36

Express News | The French Finance Minister calls for the development of a euro stablecoin.

French Finance Minister Roland Lescure stated that Europe needs more euro-denominated stablecoins and encouraged EU banks to explore tokenized deposits. These remarks are seen as a potential shift in the stance of the French government and central bank. Lescure publicly supported the Qivalis alliance, composed of 12 European banks including BBVA, ING, UniCredit, and BNP Paribas, which plans to launch a euro-pegged stablecoin in the second half of 2026 to counter the dominance of the US dollar in the digital payment sector.

BreakingsApr 17 20:42

Express News | White House Advisor: Key differences in the Clarity Act are being gradually resolved, with a compromise on stablecoin yields expected to remain intact.

Patrick Wetter, Executive Director of the White House Presidential Advisory Committee on Digital Assets, said on Monday that substantial progress is being made in Senate negotiations surrounding the Digital Asset Market Clarity Act. The compromise previously reached on the issue of stablecoin yields is expected to be maintained, with discussions now shifting to other unresolved issues. The question of stablecoin yields had been the biggest obstacle to advancing the bill. Banking lobbying groups successfully persuaded some senators that offering bank-like interest to stablecoin holders would threaten the traditional banking deposit base, causing the bill to stall. Wetter stated, "We hope the compromise reached will be durable and robust. Resolving this issue is a prerequisite for advancing other pending matters." Last week, the White House Economic Advisors issued a report downplaying the risk concerns raised by the banking sector; in response, the American Bankers Association rebutted on Monday, claiming the White House's arguments were flawed. In addition to stablecoin yields, the bill faces several other points of contention, including mechanisms for protecting against illicit finance in the DeFi space, as well as a Democratic proposal to ban senior government officials (a clear reference to former President Trump) from profiting from the cryptocurrency industry. Wetter did not disclose which issues had reached consensus but noted that negotiations had "made significant progress behind the scenes" and stated, "We are very close to resolving these issues comprehensively." The Clarity Act must still undergo the markup process in the Senate Banking Committee before being submitted to the full Senate for a vote. Wetter expressed optimism about reaching an agreement, noting that many seemingly deadlocked issues had gradually been resolved.

BreakingsApr 14 08:50

Express News | The U.S. Treasury Department plans to require stablecoin issuers to strictly comply with regulations and possess the ability to freeze transactions.

The U.S. Treasury Department is set to issue a proposed rule that would require stablecoin issuers to establish stringent compliance controls to combat money laundering, terrorist financing, and violations of U.S. sanctions. The regulatory measures will be jointly formulated by FinCEN (Financial Crimes Enforcement Network) and OFAC (Office of Foreign Assets Control), both under the Treasury Department. Specific requirements for stablecoin companies include: possessing the ability to block, freeze, and reject suspicious or illegal transactions; implementing risk-based internal control procedures with a focus on monitoring high-risk clients and activities; actively searching their records and cooperating when U.S. authorities flag specific entities; enforcing anti-money laundering and sanctions compliance measures in both primary and secondary markets; and treating stablecoin issuers as traditional financial institutions overall, holding them responsible for safeguarding the U.S. financial system from illicit use. U.S. Treasury Secretary Scott Bessent stated that regulators aim to make stablecoins a more reliable and secure payment tool while addressing ongoing risks of illicit finance in the crypto space.

BreakingsApr 8 23:59