Ethereum is experiencing a resurgence in decentralized finance (DeFi) in 2025, driven by bot activity and a significant increase in stablecoin transactions. In May, bots facilitated nearly 4.84 million stablecoin transfers on Ethereum's layer-1 blockchain, totaling a record $480 billion. This uptick is linked to lower transaction fees earlier in the year, which reversed a trend of liquidity migration to competing networks and layer-2 solutions. Ethereum's mainnet achieved an 11% growth in stablecoin market capitalization, reclaiming market share from layer-2 networks. Bots are now playing a crucial role in enhancing liquidity and efficiency in decentralized exchanges (DEXs), with stablecoin swaps dominating DEX trading volumes. Analysts suggest that Ethereum's strong focus on stablecoins may indicate real-world adoption, attributing their sustained relevance to the demand for efficient payment solutions in emerging markets. However, to maintain its lead, Ethereum must address challenges related to liquidity fragmentation across layers, which will be critical for its future growth in DeFi.

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