Solana's stablecoin supply has demonstrated greater resilience than expected, according to Blockworks Research analyst Carlos Gonzalez Campo. Amid bear market conditions, users are reportedly converting riskier assets into stablecoins within Solana applications. Recent events, including Donald Trump's pairing of a Solana memecoin with USDC, led to a notable increase in stablecoin supply, culminating in an all-time high of $12.1 billion, down slightly from $12.4 billion in February. The uptick in stablecoin availability has deepened Solana's liquidity, with USDC borrowing rates on the Solana money market Kamino reaching all-time highs. New stablecoin projects are also emerging, like USDG from Paxos. Analysts debate whether Solana needs to diversify its stablecoin offerings, currently dominated by USDC, questioning the revenue structure associated with USDC and suggesting a possible shift towards a more favorable stablecoin distribution. This highlights the evolving dynamics within Solana's stablecoin ecosystem, which plays a crucial role in its overall financial infrastructure.

Source 🔗