Stablecoins have experienced a meteoric rise in supply and overall volume since 2020, yet their integration into traditional real-world payment systems remains remarkably nascent. While their market capitalization has soared, the bulk of stablecoin activity is still tied to the crypto ecosystem, rather than everyday transactions.
Stablecoins' Explosive Growth Meets Real-World Reality
Despite a staggering 76x growth in supply since 2020, crossing the $300 billion mark, stablecoins are only just beginning to tap into the vast landscape of global payments. A recent report reveals that while stablecoin volumes hit $35 trillion, only a fraction—$390 billion—represented real-world payment activities such as remittances or payroll. This figure accounts for less than 1% of the $2 quadrillion global annual payment volumes, indicating that the overwhelming majority of stablecoin usage (99%) is currently confined to crypto trading, speculation, and internal transfers.
Key Sectors Driving Real-World Adoption
Even with limited overall penetration, specific sectors are witnessing explosive growth in stablecoin adoption. Business-to-business (B2B) payments emerged as the top driver, rocketing by 733% to $226 billion year-on-year. Similarly, card-linked spending in stablecoins saw a massive 673% surge in 2025, marking these two areas as significant opportunities for payment integrators. Peer-to-peer (P2P) transfers followed with $77 billion, closely trailed by consumer-to-business (C2B) transactions at $76 billion. Conversely, business-to-consumer (B2C) activities like payroll registered a comparatively modest $10 billion.
Market Leadership and Future Potential
The stablecoin market itself has seen substantial supply growth, adding over $100 billion in the past year to reach $307 billion. Tether’s USDT continues to dominate, driving nearly half of this new growth with a $48 billion increase to $186 billion, while Circle’s USDC added $26 billion to reach $76 billion. Emerging players like Sky Protocol's USDS and PayPal's PYUSD are also gaining traction, particularly by offering yield. With 99% of stablecoins denominated in US dollars, their dominance is clear, and the report optimistically projects that their inherent cost and speed benefits could allow them to surpass legacy transfers in less than a decade.
