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DeFi accessibility and cost-effectiveness are on track for a new milestone, as leading DeFi lending platform Venus Protocol has announced it is expanding to the Optimism Network. This is a significant move in the multi-chain strategy of Venus Protocol which has one of the fastest-growing Layer 2 solutions in the Ethereum ecosystem. The initial launch on Optimism will feature five key markets: WBTC, WETH, USDT, USDC (native), and OP. This is a strategy to provide value to the community as Venus uses the network’s low-cost transaction and high-speed capabilities. The company is placing itself in a lead position in the field of Layer 2 DeFi innovation with the help of Optimisn’s $650 million TVL ecosystem. Venus Labs head Brad Harrison said that the company is excited to its “battle-tested DeFi services to a network known for its efficiency and growing ecosystem” as it broadens the company’s reach and is in line with its mission to enhance DeFi cost-effectiveness and accessibility. Crypto users will experience faster inexpensive transactions because of this along with improved interoperability in the blockchain network and expanded market access. It also ensures smooth integration of EVM equivalence with existing Ethereum infrastructure. Moreover, Venus Protocol's expansion makes it eligible for Optimism's Retro Funding, which has allocated 850 million OP tokens to application developers and core contributors to the Optimism Collective. The company is introducing a Venus Prime program as it expands into the Optimism network this will provide incentives to users who use the Venus ecosystem on Optimism. With this latest addition, Venus Protocol is now available on six different chains: Arbitrum, Optimism, ZKsync, Ethereum Mainnet, opBNB, and BNB Chain. This multi-chain approach ensures that the company’s services are accessible to a wide range of users across various crypto ecosystems. At present, Optimism is the third largest Layer 2 network by TVL having $3.79 billion as of April 2024 which showcases the growth potential of this ecosystem.

Unprecedented levels of stablecoin market capitalization have been added to the Bitcoin ecosystem, thus providing more liquidity. Historically connected with price rises, this trend could indicate a positive future for Bitcoin and the whole crypto market. According to recent CryptoQuant statistics, some USD-backed stablecoins today have a total market capitalization of $169 billion. Equivalent to $40 billion in increase, this number shows a significant 31% rise since the beginning of 2024. As seen by stablecoin value, the surge has pushed crypto market liquidity to record highs in late September. Especially in Tether (USDT), centralised exchanges have seen a notable rise in stablecoin balances. Right now, USDT rules the stablecoin scene. The main force behind this development pattern has been With an all-time high of 22.7 billion this month, Total USDT (ERC20) balances on centralized exchanges mark a 54% increase, or $8 billion, year-to-date. About $8.5 billion USDT issued on the Tron network is currently kept on centralized exchanges, according to CryptoQuant. "Larger balances of stablecoins on exchanges are positively correlated with higher Bitcoin and crypto prices," said the market analytics platform. Starting in January 2023, the present bull cycle has seen centralized exchange USDT (ERC20) balances rise by 146%. Over this period, their value has risen from $9.2 billion to $22.7 billion. With its closest rival USD Coin (USDC) holding a 21% share, USDT's market share has reached 71%. Having risen by thirty% or $28 billion since the start of 2024, USDT's market capitalization is almost $120 billion. With its market capitalization of $36 billion—a 44% or $11 billion rise year-to-date—USDC has also seen notable growth. According to CryptoQuant, almost all the net stablecoin rise noted this year comes from USDT and USDC. Though at a slower rate than previous in the year, both assets show monthly increases. Accelerated development in the monthly market caps of these assets, according to analysts, could indicate a fresh surge in Bitcoin and crypto prices. Given that the top cryptocurrency has been showing a relative price stability, this is especially interesting. New players are starting to show up in the stablecoin space even as USDT and USDC remain leaders. Developer of the XRP Ledger, Ripple Labs, recently debuted a USD-backed stablecoin called RLUSD. RLUSD reached a market capitalization of $47 million already since its late September introduction. Analyzes think this asset has great growth possibilities. The rising liquidity brought about by stablecoin expansion could have broad effects on the Bitcoin market. Market players will be closely observing these changes in the next months as historical data points to a link between more liquidity and rising prices.

The Tron blockchain network has recorded a surge in trading activity. Last week, it processed almost $100bn in on-chain volume. This spike comes as TRX, the network's native currency, trades near its all-time high. Blockchain analytics firm IntoTheBlock reported the substantial increase in Tron's on-chain activity. The data shows that Tether (USDT) transfers dominated the volume, as Tron has become the preferred network for USDT transfers. Tron currently manages over $61bn of USDT and now handles over 50% of all USDT movements. Users favor Tron for its lower costs and higher scalability compared to Ethereum. This preference persists even despite the rise of Ethereum layer-2 solutions. TRX transfers made up 2.6% of the total on-chain volume last week. Other significant TRC-20 tokens included SUN, BitTorrent, and JUST. These tokens are central to major decentralized finance protocols on Tron. The network has also seen increased meme coin activity. This follows the mid-August launch of SunPump by Tron co-founder Justin Sun. SunPump, a meme coin launchpad, has generated over $5.3m in revenue and has facilitated the launch of more than 86,400 meme coins. Dune Analytics reports that over 1,640 SunPump tokens are now listed on Sunswap. While the initial meme coin frenzy has cooled, both TRX and SunDog have benefited. SunDog, a prominent meme coin from SunPump, has surged over 720% since August 2024. TRX is currently trading about 10% below its all-time high. The overall uptrend remains intact despite recent fluctuations. A break above $0.15 could signal further upward momentum. Market analysts are watching for a potential breakout above August 2024 highs. The daily chart shows a bull flag formation: such a pattern often precedes significant price movements. The recent surge in network activity coincides with shifts in broader crypto market sentiment. Changes in U.S. monetary policy have influenced this trend. Investors are reassessing digital assets in light of these macroeconomic developments. Tron's performance underscores its growing importance in the cryptocurrency ecosystem. Its role in facilitating stablecoin transfers and supporting decentralized finance applications continues to expand. As the network processes unprecedented volumes, all eyes are on TRX's price action in the coming weeks.

Crypto trading platform Robinhood and fintech company Revolut are exploring the launch of their own stablecoins, according to a Bloomberg report. This potential move comes as European regulators prepare to implement new rules. The changes could weaken Tether's dominance in the $170 billion stablecoin market. Theoretically, of course. As no one has been able to do that in the recent past. Tether currently holds a commanding position, its USDT stablecoin boasts a circulation of nearly $120 billion. This represents over two-thirds of the total market. Circle Internet's USDC, the closest competitor, has a circulation of about $36 billion. The landscape might shift rapidly as the European Union is set to roll out its Markets in Crypto-Assets (MiCA) framework by year-end. These comprehensive regulations could force EU crypto exchanges to delist stablecoins from issuers lacking proper permits. Circle has already secured the necessary EU license. This positions the company favorably as regulations tighten. Circle has even confidentially filed for a US initial public offering, this move signals confidence in the evolving regulatory environment. Tether, however, faces uncertainty. CEO Paolo Ardoino has expressed concerns about EU regulations. He worries particularly about scenarios involving mass redemptions. Tether is now exploring a "technology-based solution" for the EU market. The company currently lacks an e-money license in the region. So what about Robinhood and Revolut? These well fintech companies are well established in Europe and have an enormous potential to undermine Tether's leadership here. Despite all the rumors in the Bloomberg report, Robinhood states it has "no imminent plans" to launch a stablecoin. That doesn't mean these plans aren't cooking, analysts say. Revolut, meanwhile, has expressed intentions to expand its crypto offerings. The potential for profit is significant. Tether reported earnings of $5.2 billion from its reserves in the first half of 2024. Experts warn of potential market fragmentation. Nuri Chang, head of product at BitGo, notes that various financial applications may develop their own stablecoins. This could lead to seamless transactions that users may not even notice. MiCA regulations are already partially in effect. They require stablecoin issuers to hold an e-money license. Issuers must also ensure a significant portion of their assets are held in independent banks. The second phase will cover all crypto platforms, this is expected to provide a clearer compliance framework. Some exchanges are taking preemptive action. OKX, Uphold, and Bitstamp have begun delisting Tether's stablecoins, thus creating competitive disadvantages for those still supporting Tether. The stablecoin market stands at a crossroads. Regulatory changes and new entrants could reshape the landscape. Whether Robinhood and Revolut will seize this opportunity remains to be seen. The coming months will likely prove crucial for the future of stablecoins in Europe and beyond.

Tether's USDT, the world's largest stablecoin, is approaching a significant milestone: its market capitalization is nearing $120 billion. This comes amid a surge in demand for stablecoins, which are rapidly becoming the driving force of the crypto market. The recent data speaks for itself. Users have invested more than $1 billion in stablecoins just over the last seven days. No surprise, but the vast majority of these funds have gone into Tether (USDT), the stablecoin that now dominates 70.4% of the market. Stablecoins have seen rapid growth since the start of the year. Their market cap has risen from $122 billion in October 2023 to over $169 billion in September 2024, and this represents a whopping 38.5% increase. "The influx of capital into stablecoins highlights growing interest in stable digital assets," said a market report from IntoTheBlock. This trend is partly driven by inflation concerns and weakening fiat currencies in developing countries, as people tend to hedge the risks with stablecoins. Digital money are becoming the only viable alternative to the fiat money, issued and controlled by the governments. Screenshot 2024-09-23 at 10.46.52.png Tether's growth has outpaced its competitors. USDC, the second-largest stablecoin, has a market cap of $35.88 billion. And Tether's dominance is expected to continue growing, most analysts predict. The Tether Treasury recently minted $1 billion USDT on Ethereum, it also added $100 million USDT on the Tron blockchain. These moves reflect the increasing demand for the stablecoin. But smaller stablecoins are also benefiting from this trend. For instance, first Digital USD (FDUSD) has seen its market cap increase by 47% in the past month, and now stands at $2.94 billion. Stablecoin Market Cap Chart / CoinGecko Ripple, the company behind XRP, has announced plans to enter the stablecoin market. Its Ripple USD (RUSD) aims to connect global financial firms and institutions. Industry experts anticipate significant growth for RUSD post-launch. This follows other recent prominent stablecoins announcements, like PayPal’s. Stablecoins have evolved beyond their initial use case of cryptocurrency trading. They are now increasingly used in lending platforms and for payments, and this expansion has contributed to their rapid adoption. Tether's ability to maintain its dollar peg has been crucial to its success. This stability has made it attractive to traders seeking refuge from market volatility. It has also positioned Tether as a reliable digital alternative to traditional currencies. As Tether approaches the $120 billion milestone, it cements its position as a major player in the global financial landscape. Its growth reflects the increasing integration of digital assets into mainstream finance.