The supply of stablecoins on Solana saw a significant surge of 112% in January, reaching a new high of $11.1 billion, according to a research report by CCData, a subsidiary of CoinDesk.
This rise in supply was linked to the launch of Donald Trump’s memecoin, $TRUMP, which sparked a wave of inflows to the Solana network. Since $TRUMP’s release on January 18, stablecoin supply on Solana has increased by 73.6%. The trading frenzy surrounding $TRUMP led to unprecedented activity on decentralized exchanges (DEXs), further contributing to the growing stablecoin supply. Solana surpassed its previous stablecoin supply record set in 2022, positioning itself as the third-largest network in terms of stablecoin supply, trailing only Ethereum and Tron.
In addition, the report highlighted that the market capitalization of all stablecoins has now exceeded $200 billion, having grown by $37 billion since the U.S. election in November. This surge in stablecoin supply was also accompanied by a decrease in Tether’s dominance, with USDT’s market share falling from 67.5% to 64.9% in January — its lowest level since May 2023.
One notable beneficiary of this shift has been Ripple’s USD stablecoin, which saw a rise in trading volume on centralized exchanges, becoming the fourth-largest stablecoin by trading volume in January.
Ripple, which had spent years embroiled in a legal battle with the U.S. Securities and Exchange Commission (SEC), has seen its native token, XRP, rise by 33%, reaching over $3.10 this month. CEO Brad Garlinghouse noted a boost in U.S.-based deals and hiring, likely driven by the “Trump effect” on the market.
