The supply of Ethereum stablecoins reached a record 166 billion dollars, reinforcing its role as the payment backbone of DeFi.

The supply of stablecoins on Ethereum has risen to a record level of 166 billion USD, indicating growing confidence in the network's role as a core infrastructure for DeFi.

According to data from The Block, the total supply of stablecoins on Ethereum reached 166 billion USD as of Saturday, up from 149.5 billion USD a month ago. USDT remains dominant with 87.8 billion USD, followed by USDC with 48 billion USD.

Vincent Liu, CIO of Kronos Research, stated: "The supply of stablecoins on Ethereum has reached an all-time high, marking a turning point, transforming Ethereum from a speculative asset into a pillar for the dollarization process in the DeFi ecosystem. It also indicates that liquidity is currently strong enough to absorb volatility and support the market as macro conditions deteriorate."

Nick Ruck, Director of LVRG Research, also believes that this record reflects a strong rise in institutional liquidity and reinforces confidence in the Ethereum infrastructure. He emphasized that the growth is mainly due to USDT and USDC, signaling an acceleration in institutional adoption, which could lead to a DeFi boom and benefit ETH prices.

Meanwhile, the USDT market capitalization surpassed 170 billion USD last weekend, reaching 170.3 billion USD according to data from CoinGecko.