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Solana’s stablecoin supply experienced a substantial increase, exceeding a 73% jump since mid-January. The surge in network activity is attributed to the launch of a memecoin by US President Donald Trump.
Research firm CCData reported that the total stablecoin supply on the Solana blockchain reached $11.1 billion, marking a 112% rise from the beginning of the year.
The significant growth in stablecoin supply coincides with an influx of capital following the introduction of Trump’s memecoin, $TRUMP, on the Solana network. This event sparked a spike in decentralized exchange (DEX) trading activity, setting new records for the platform. As a result of this increased activity, Solana has overtaken BNB Chain to become the third-largest blockchain network by stablecoin supply, trailing only behind Ethereum and Tron.
The memecoin, officially named Official Trump (TRUMP), was launched on January 18, with an additional token, Official Melania (MELANIA), debuting the following day on the Solana network. These launches occurred just ahead of Trump’s presidential inauguration on January 20.
The introduction of these tokens resulted in significant trading volumes and network congestion on Solana. Moonshot, the designated platform for purchasing the memecoin, reported an influx of over 200,000 new users since the token’s release.
Trump’s memecoin achieved a fully diluted value (FDV) of $80 billion shortly after its launch but later settled to an FDV of approximately $26 billion by January 30, as per CoinMarketCap data.
In the realm of stablecoins on Solana, Circle’s USD Coin (USDC) holds a dominant position, constituting nearly 78% of the network’s stablecoin supply. Tether’s USDt, on the other hand, maintains a smaller presence with about 12% market share on Solana.
Overall, USDC maintains a market capitalization of roughly $50 billion, securing its place as the second most popular stablecoin after USDt, which boasts a market cap of around $140 billion as of January 30, according to CoinGecko.
USDC has been gaining ground against USDt since December amid ongoing discussions about Tether’s adherence to the Markets in Crypto-Assets (MiCA) regulations, the European Union’s framework for crypto market standardization and regulation.
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