The capitalization of stablecoins fell by $7.3 billion in 2023

The stablecoin economy lost $7.3 billion in value in 2023, falling from $138.12 billion on January 6 to $130.79 billion.

Notably, certain stablecoin projects have seen huge redemptions in the last four months, with USDC alone losing over $14 billion. Similarly, BUSD lost $11 billion during the first week of January, while DAI lost $361 million.

The top eight stablecoins in terms of market capitalization as of May 21, 2023
The top eight stablecoins in terms of market capitalization as of May 21, 2023

Other stablecoin projects, on the other hand, have managed to balance the overall losses through growth. TUSD, for example, began the year with a market capitalization of around $846.57 million and now has a total value of $2.04 billion (a 140.97% increase).

Tether (USDT), the major stablecoin, has also seen a considerable increase in market capitalization. USDT had a matching value of $66.29 billion in the first week of January, but it has since climbed by more than 25%, reaching $82.95 billion.

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