Stablecoin Dominance Falls to 7.8%: Report

According to a recent report by Binance Research, stablecoins issued by centralized companies and backed by real assets currently dominate the stablecoin market.

However, the proportion of stablecoins in the overall cryptocurrency market capitalization has decreased significantly from 17.3% to 7.8% in the last year.

Analysts suggest that as US Treasury yields rise to 5%, investors may start to move away from stablecoins and towards traditional fixed income assets that are perceived as more secure and reliable.

The overall market capitalization of stablecoins currently stands at around $130 billion, which is a decrease of 5.2% from the beginning of 2020. Tether (USDT) and USD Coin (USDC) hold the top two spots in the stablecoin rankings, with market capitalizations of $95.027 billion and $25.397 billion respectively.