Stablecoin supply sees first quarterly drop since Q3 2023

The supply of yield-bearing stablecoins fell by 15% in the second quarter, marking the overall market's first quarterly decline since the third quarter of 2023, Cointelegraph reported, citing a CEX.IO report. The report noted that the supply of yield-bearing stablecoins decreased by more than $3.5 billion. Ethena's (ENA) sUSDe supply dropped by 52%, or approximately $2 billion, while Sky's sUSDS contracted by 16%. In contrast, stablecoins backed by traditional financial assets saw growth, with BlackRock's BUIDL up 2%, Circle's USYC up 16%, and Ondo Finance's USDY up over 66%. The total stablecoin supply fell to $312 billion, with adjusted trading volume also down 5.5%.