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Stablecoin volume on Ethereum reached $2.82 trillion in October, a new all-time high.
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USDC led with $1.62 trillion, followed by USDT at $895.5 billion.
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Traders are using stablecoins to hedge and earn yield amid market profit-taking.
Record-Breaking Activity in October
Ethereum-based stablecoin transactions hit a record $2.82 trillion last month, up 45% from September’s $1.94 trillion. The surge came as traders rotated into yield strategies while Bitcoin and Ethereum prices cooled off.
USDC Takes the Lead
Circle’s USDC dominated with $1.62 trillion in volume, while Tether’s USDT handled $895.5 billion. Analyst Min Jung from Presto Research said the rise reflects a broader push into “liquid yield tokens” and yield farming.
Market Rotation and Liquidity Management
With Bitcoin down 11.5% and Ethereum off 16.4% in October, traders appear to be parking funds in stablecoins. Kronos Research CIO Vincent Liu noted this trend shows active liquidity management as traders prepare to buy dips.
Stablecoins Dominate Protocol Revenues
Stablecoin issuers generated roughly 70% of total protocol revenues last month, outperforming DeFi lending and exchanges. Analysts say this reflects a maturing crypto market, where stablecoins play a key role in payments and cross-border finance.
