Ethereum Leads Stablecoin Volume Amid Layer-2 Expansion

Ethereum Leads Stablecoin Volume Amid Layer-2 Expansion

In October 2025, Ethereum maintained its leading position in stablecoin volume, processing approximately $2.82 trillion, despite challenging market conditions.

This reflects Ethereumโ€™s growing institutional use and Layer-2 support, reinforcing its role in the evolving digital financial ecosystem.

Ethereum sees record stablecoin volume with significant Layer-2 growth, marking $2.82 trillion in transfers.

Ethereum Hits $2.82 Trillion in Stablecoin Transfers

Ethereum processed approximately $2.82 trillion in stablecoin transfers in October 2025. This marked a significant increase, driven by expanding Layer-2 ecosystems. Prominent stablecoins involved are USDC, USDT, and DAI.

Involved parties include Vitalik Buterin, with Ethereum focused on Layer-2 scalability and Jeremy Allaire at Circle, highlighting USDCโ€™s role in DeFi. Stablecoin issuers contributed significantly to crypto protocol revenue from U.S. Treasury-backed reserves.

Vitalik Buterin, Co-founder, Ethereum, emphasized: โ€œEthereumโ€™s long-term scalability relies on Layer-2 adoption, which is now materially driving more utility for stablecoins and DeFi.โ€

Stablecoin Persistence Amid Price Drops in Ethereum

The surge in stablecoin volume suggests a โ€œrisk-offโ€ rotation by traders seeking liquidity. Stablecoin activity remains high despite drops in Ethereum and Bitcoin prices, indicating ongoing confidence in Ethereumโ€™s infrastructure.

Institutional interest in stablecoin-backed liquidity grew with U.S. Treasury yields, driving revenue for issuers and DeFi protocols. Jeremy Allaire reflected on USDCโ€™s increasing real-world utility, focusing on commerce and financial operations.

Layer-2 Adoption Crucial for Ethereumโ€™s Scalability

Previous spikes in stablecoin volume occurred during crypto market volatility or rapid DeFi growth phases. Ethereum-based protocols like Uniswap and Aave historically benefited from increased on-chain stablecoin flows.

Expert insights emphasize Layer-2 adoption as essential for Ethereumโ€™s scalability, supporting stablecoin and DeFi utility. Analysts expect continued growth and innovation amid regulatory and macroeconomic factors.

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