Author: Yue Xiaoyu Source: X, @yuexiauyu111
The stablecoin war has begun.
With the rollout of the US stablecoin bill (GENIUS), traditional finance is accelerating its entry, and six major forces have already formed:
The first major force is Tether, which issues USDT.
Tether has already aligned with Secretary of Commerce Gutnick.
This camp also includes Bitfinex, Cantor Fitzgerald (formerly CEO of Secretary of Commerce), CEP (son of Secretary of Commerce + SoftBank investment), and Bitdeer (Tether holds 25.5%).
USDT has a market cap of 150 billion USD and a market share of 66.5%, already occupying an absolute dominant position in the market.
The second major force is the Coinbase and Circle consortium.
They did not have access to much political resources, but the future breakout point lies in scenario resources.
For example, Meta itself is not a financial company and cannot issue stablecoins, so it is currently discussing collaboration with Circle to use Instagram as a pilot for small tips using stablecoins.
Circle's USDC has a Market Cap of 61 billion USD and a market share of 28.3%, making it the largest compliant stablecoin.
The third major force is the USD1 issued by the Trump family.
The Abu Dhabi royal family’s MGX sovereign fund and Binance are also part of this camp.
When MGX invested 2 billion USD in Binance, it was all paid using the stablecoin USD1 issued by the Trump family.
Moreover, the USD1 was first launched on Ethereum's Uniswap and BNB Chain's Pancake.
This group's political influence is the strongest, but the inherent political risks are also the greatest.
The fourth major force is Stripe, which acquired Bridge and issued the USDB stablecoin.
Stripe is the world's largest traditional payment solution provider, thus having a very strong advantage in payment scenarios.
The fifth major force is PayPal, which issued PYUSD.
PayPal has a large user base, but its promotion is insufficient.
It was popular on the Solana chain for a while, even attracting users with high dividends of 15% to 20%.
However, over the years, it has only done 0.9 billion USD, seemingly not very good at operation.
The sixth major force includes JPMorgan, Citigroup, Wells Fargo & Co, and other large American banks, as well as Zelle, which is similar to American Alipay, forming an alliance to issue a stablecoin together.
The advantage of the top banking alliance is its high credibility, while the disadvantage lies in the difficulty of coordination.
What will the future market landscape of stablecoins be like?
In fact, it can be benchmarked against the market structure of Exchanges: Exchanges can be divided into offshore and compliant exchanges, and stablecoins can similarly be divided into offshore stablecoins and compliant stablecoins.
USDT is undoubtedly the leading offshore stablecoin, while USDC is the leader in compliant stablecoins.
Does this mean that other stablecoins have no chance?
In fact, in different countries, regions, and business fields, many "local leaders" like the Hong Kong dollar stablecoin and the Stripe stablecoin in the e-commerce sector will emerge.
These local leaders are like small tentacles, penetrating the digital dollar into various fringe regions and segmented business scenarios.
The future stablecoin market will inevitably see a "battle of hundreds of coins," and we can look forward to the development of stablecoins.
