How Many Stablecoins are There in 2025?

Stablecoins have advanced from niche digital tokens into a crucial cornerstone of the global crypto economy.

Their primary allure lies in their promise of price stability, a stark contrast to the often volatile nature of traditional cryptocurrencies like Bitcoin or Ethereum.

But with this explosion in popularity, a key question arises, how many stablecoins are there?

Key Takeaways

• The majority of stablecoins are fiat-collateralized, including tether (USDT) and USDC.
• Stablecoins serve diverse investment needs, from earning yield to hedging against volatility.
• Real-world use cases include remittances, payroll, and inflation protection.
• Investing in stablecoins requires understanding different peg mechanisms and associated risks.

According to CoinMarketCap data from early 2025, there are over 200 stablecoins in existence.

However, this number only scratches the surface.

As new technologies and use cases emerge, more stablecoins are being launched regularly, catering to specific markets, blockchains, and investment needs.

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What Is a Stablecoin?

A stablecoin is a type of cryptocurrency that maintains a fixed value by being pegged to a stable asset such as fiat currency (like the US dollar), commodities (like gold), or even other cryptocurrencies.

The aim is to combine the reliability of traditional assets with the speed, transparency, and decentralized nature of blockchain technology.

Stablecoins are typically used for everyday transactions, cross-border payments, cryptocurrency trading, decentralized finance (DeFi) applications, and as a hedge against inflation, complementing the broader realm of cryptocurrencies.

With their growing adoption, understanding consumer protection and how many stablecoins exist and how they function is essential for any investor looking to enter the space.

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Types of Stablecoins

The number of stablecoins is directly linked to the different mechanisms used to maintain their peg.

Each category serves different investor profiles and use cases:

1. Fiat-Collateralized Stablecoins

These are backed 1:1 by reserves of fiat currency held in banks or other custodians.

They are the most common and include:

• USDT (Tether) – Over $114 billion in circulation (March 2025)
• USDC (USD Coin) – Over $41 billion in assets under management (2024)
• FDUSD – Fully collateralized by U.S. dollars and equivalent assets

2. Crypto-Collateralized Stablecoins

These are backed by other cryptocurrencies and often over-collateralized to mitigate volatility.

Notable examples include:

• DAI – Backed by Ethereum and other crypto assets, with a market cap exceeding $5 billion
• LavaUSD (LUSD) – Backed by crypto collateral held in smart contracts

3. Commodity-Collateralized Stablecoins

These are pegged to the value of real-world assets like gold:

• PAX Gold (PAXG) – Pegged to physical gold, used for wealth preservation

4. Algorithmic Stablecoins

These use algorithms and smart contracts to manage supply and demand without holding reserves.

Although innovative, they are riskier:

• Frax – Uses fractional reserve and algorithmic mechanisms
• TerraUSD (UST) – Notably collapsed in 2022 due to de-pegging, serving as a cautionary tale

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How Many Stablecoins Are There?

While over 200 stablecoins exist as of early 2025, only a handful dominate in terms of adoption and market capitalization.

The majority fall under the fiat-collateralized category, which currently makes up over 90% of the stablecoin supply, according to The Block Research.

Prominent stablecoins include:

• USDT – Issued by Tether Ltd., used primarily for trading and settlements
• USDC – Issued by Circle and Coinbase, known for its transparency
• DAI – Maintained by MakerDAO, used heavily in DeFi
• PAXG – Offered by Paxos, backed by gold
• BUSD – Formerly issued by Paxos for Binance, with declining use due to regulatory scrutiny

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Emerging and Niche Stablecoins

New stablecoins are frequently introduced with region-specific pegs and innovative features:

• RLUSD: Ripple labs is a pioneer in blockchain-based cross-border payments, has introduced Ripple USD
• PYUSD: The official stablecoin of PayPal.
• USDTb: USDtb is a synthetic stablecoin pegged to the US dollar using a delta-neutral strategy.
• LavaUSD: LUSD is backed by crypto collateral held in smart contracts.
• WYST Wyoming Stablecoin: WYST is a dollar-backed stablecoin fully issued and managed by the Wyoming government.
• GBPA Stablecoin: GBPA is a British Pound-pegged stablecoin developed by Agant Finance with a strong emphasis on UK regulatory compliance.emption guaranteed.
• Staked USDe Stablecoin: sUSDe offers yield through staking, appealing to DeFi users seeking stable income.
• sUSDS High Yield: sUSDS is a yield-bearing stablecoin issued by Sky, built on top of USDS.
• YBX Stablecoin: Is being launched by Marginfi on the Solana blockchain.
• GYEN: Is a stablecoin linked to the Japanese yen, issued by GMO Trust.
• FDUSD: Is a fiat-backed stablecoin fully collateralized by U.S. dollars and equivalent assets.
• EUROe: Is a fully-backed stablecoin pegged to the euro, ensuring stability.

These entries reflect an expanding landscape that caters to both retail and institutional investors.

As more players enter the market, the number of stablecoins will likely continue to rise.

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Investment Implications of Stablecoin Variety

Understanding how many stablecoins are there is more than just a matter of tallying coins, it’s about identifying investment opportunities and risks.

Here’s how this impacts stablecoin investing:

1. Yield Opportunities

Platforms like Aave, Compound, and Nexo offer interest-bearing accounts for stablecoins, with annual returns ranging between 4–10%.

Investors can stake, lend, or provide liquidity using stablecoins across DeFi ecosystems.

These protocols work by matching borrowers who want to access capital with lenders who are willing to provide liquidity in exchange for yield.

Since stablecoins maintain a consistent value, they reduce the risk of principal loss due to market volatility, making them especially attractive for conservative crypto investors.

Additionally, newer platforms also offer yield-bearing stablecoins that automatically compound interest or distribute staking rewards, offering an even more passive investment experience.

2. Risk Management

The wide range of stablecoins allows investors to diversify across different peg mechanisms, issuers, and jurisdictions.

This diversification can help reduce reliance on any single platform or reserve model.

For instance, using USDC for its regulated reserve framework and DAI for its decentralized governance model provides a balanced approach to risk.

Additionally, investors may consider splitting holdings across fiat-backed, crypto-backed, and yield-bearing stablecoins to protect against specific market shocks or regulatory shifts.

3. Regulatory Exposure

Different stablecoins face varied regulatory treatments based on their issuing entity and jurisdiction.

U.S.-regulated options like USDC and PYUSD are subject to stricter compliance requirements, including regular audits and oversight, which may offer greater legal clarity and investor protection.

In contrast, offshore-issued stablecoins might operate under looser regulations, potentially increasing both flexibility and risk.

As global regulatory frameworks like the EU’s MiCA and the U.S. Stablecoin TRUST Act continue to advance, investors must stay updated on how these changes might affect the usability and legal standing of different stablecoins.

4. Innovation Access

Investors can gain early exposure to innovative stablecoin models that offer novel earning mechanisms, though these come with varying degrees of risk.

For instance, yield-bearing stablecoins like sUSD on the Solana network provide holders with a steady annual yield of approximately 4–5%, generated through investments in U.S. Treasury Bills.

This approach combines the stability of traditional assets with the benefits of decentralized finance (DeFi).

Similarly, algorithmic stablecoins such as Frax (FRAX) utilize a fractional-algorithmic mechanism, blending collateral backing with algorithmic adjustments to maintain their peg to the U.S. dollar.

While these innovative models present new opportunities for yield generation and diversification, they also introduce complexities and potential risks, including regulatory uncertainties and the need for mechanisms to maintain price stability.

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Real-World Use Cases

The utility of stablecoins extends far beyond speculation:

• Remittances: Lower fees and faster transfers
• Payroll: Payment in USDT or USDC for global workers
• Inflation Hedge: Popular in regions like Latin America and Africa
• NFTs and Gaming: Used as in-game currencies or for marketplace transactions

A World Economic Forum report highlights that stablecoins could reduce global remittance costs, which currently average 6.2% per transaction.

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Risks to Consider

With variety comes complexity.

Not all stablecoins are created equal:

• Transparency Issues: Some issuers don’t provide real-time reserve audits
• Centralization Risks: Many rely on a single entity for issuance and management
• Regulatory Pressure: Compliance requirements are evolving and may affect usage
• De-Pegging Events: As with TerraUSD, algorithmic coins are particularly vulnerable

A 2023 IMF report stresses the need for global regulatory standards to avoid systemic risks.

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Conclusion

So, how many stablecoins are there?

The short answer, over 200, with new ones launching regularly.

But the more important takeaway for investors is understanding which stablecoins offer value, transparency, and opportunity.

Stablecoins are no longer just a tool for traders, they are becoming foundational to the entire digital financial ecosystem.

Whether you’re looking for yield, stability, or a hedge against inflation, there is likely a stablecoin designed for your needs.

Stay informed, assess the risks, and align your stablecoin investments with your financial goals to navigate this landscape with confidence.

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Read Next:

• What Is a Stablecoin?
• What is the Purpose of Stablecoins?
• The Benefits of Stablecoins
• Best Stablecoins in 2025

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FAQ

1. How many stablecoins are there as of 2025?

There are over 200 stablecoins currently in circulation, with more launching regularly to address specific market needs and technological innovations.

2. Which stablecoins are considered the safest for investing?

Fiat-backed stablecoins like USDC and USDT are generally considered safer due to their reserve structures and wide adoption.

However, transparency and regulatory compliance should always be evaluated.

3. Can I earn interest on stablecoins?

Yes.

Platforms like Aave, Compound, and Nexo allow users to lend their stablecoins and earn annual returns ranging from 4% to 10%, depending on platform and risk level.

4. What are some new stablecoins to watch in 2025?

Innovative stablecoins like PYUSD, RLUSD, USDtb, and YBX are gaining attention for their unique mechanisms and issuer credibility.

5. Are algorithmic stablecoins good for investment?

Algorithmic stablecoins offer high innovation but come with significant risk.

The collapse of TerraUSD in 2022 highlights the volatility and potential instability of these models.