Stablecoin Market Caps Climb $45B Post U.S Elections as USDT and USDC Surge

• USDT leads stablecoin gains with a $21.6B increase, showing robust demand as trading volumes surge post-elections, reinforcing its market dominance across exchanges.
• USDC recorded a $20.8B rise since November, driven by investor trust in transparent reserves and increased regulatory backing in the stablecoin sector.
• PYUSD and EURC exhibit steady growth, with gains of $210.1M and $22.8M respectively, reflecting rising adoption among digitally savvy investors worldwide momentum.

Since the U.S. elections on November 5, 2024, stablecoin market capitalization has expanded by an estimated $45 billion. This surge points to rising acceptance of dollar-backed tokens and growing interest in regulated alternatives like USD Coin (USDC), PayPal’s PYUSD, and EURC.

Accelerated Growth in Key Stablecoins

Satoshi Club’s tweet notes that USDT recorded most of its market cap gains in late 2024, adding around $21.6 billion since the elections. Analysts associate this trend with active crypto trading pairs that rely on Tether’s liquidity. USDC followed closely, registering $20.8 billion in added market cap, especially from January 2025 onward. Industry observers attribute this consistent rise to the transparency offered by USDC’s reserve model.

Other participants include USDe, which gained $2.9 billion. Although overshadowed by the leading dollar-based tokens, USDe still captured the attention of traders seeking alternatives. This pattern reflects ongoing competition within the stablecoin arena.

Regulated Tokens Capture Investor Confidence

PYUSD and EURC recorded moderate but steady expansions, reflecting a preference for trusted names in digital finance. PayPal’s PYUSD grew by $210.1 million, supported by PayPal’s established brand and user-friendly platform. Market participants who prioritize regulatory backing appear to favor such offerings.

EURC, a euro-denominated token from Circle, added $22.8 million. Observers see this as evidence that certain users are exploring stablecoins beyond the U.S. dollar. This trend suggests that regional demand for euro-based digital assets is gradually increasing.

Smaller Coins Face Divergent Outcomes

While many tokens gained traction, FDUSD saw a $329.4 million drop in market capitalization. Traders could be moving funds into more liquid or better-regulated stablecoins, especially those with stronger backing. DAI experienced a smaller decline of $0.7 million, which could reflect shifting sentiment toward centralized stablecoins.

These movements indicate that market participants are gravitating toward well-known issuers, emphasizing compliance and liquidity. The overall addition of $45 billion underscores the evolving demand for stable, transparent digital currencies, while smaller players adjust to changing preferences.