The post Yield-Bearing Stablecoin Market Grows 13x in Two Years appeared on BitcoinEthereumNews.com.

The yield-bearing stablecoin market has witnessed strong growth in recent years. Although retail investors have not paid much attention, the latest data reveals this sector’s significant potential. This article explores the challenges facing the yield stablecoin space amid changing regulatory landscapes and rising institutional interest. Yield Stablecoin Market Cap Surpasses $10 Billion in 2025 Yield-bearing stablecoins differ from traditional stablecoins in that they not only maintain a stable value but also generate returns for holders. These returns come from investment strategies like staking, lending, or investing in yield-generating assets such as government bonds. According to data from Stablewatch, the total supply of yield-bearing stablecoins has grown 13 times in under two years, from just $666 million in August 2023 to $8.98 billion in May 2025. At one point, in February 2025, the market hit an all-time high of $10.8 billion. Yield-Bearing Stablecoin Market Cap. Source: Stablewatch Stablewatch also reports that the total accumulated yield paid out has reached nearly $600 million. The current average payout stands at around $1.5 million per day. Among the most notable projects, Ethena’s sUSDe and Sky’s sUSDS and sDAI are leading the market. Together, these projects account for 57% of the total yield stablecoin market capitalization — about $5.13 billion. Data from DeFiLlama shows that the market now includes over 1,900 stablecoin pools, spread across 465 protocols and more than 100 different chains. These pools allow investors to deposit stablecoins and earn yield. Despite impressive growth, Jacek Czarnecki, co-founder of L2Beat, points out that yield-bearing stablecoins still make up only a small portion of the broader stablecoin market. At the time of writing, the total stablecoin market cap has reached over $244 billion. “Yield-first stablecoins are still just a small fraction (3.7%) of the general stablecoin market,” Jacek said. Still, this small share also reflects…

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Filed under: News - @ May 21, 2025 4:24 pm