These Are the 5 Most Popular Stablecoins in 2025. Will That Change in 2026?
August 8, 2025
Category:
Key Points
The passage of new stablecoin legislation (the Genius Act) this summer has potentially opened the floodgates for an entirely new set of players -- including banks, retailers, fintech companies, and Silicon Valley tech giants -- to get into the
stablecoin
mix.
Although it's unlikely these new entrants will be able to make much of a dent this year, a lot could change next year. Here's what to look for and what names to watch in 2026.
The five most popular stablecoins
According to the latest
Motley Fool stablecoin research
, just a handful of stablecoins account for nearly 95% of the market cap of the stablecoin industry. The two clear leaders, of course, are
Tether
(CRYPTO: USDT)
and
USDC
(CRYPTO: USDC)
. Tether has a market cap of about $164 billion, while USDC has a market cap of roughly $65 billion (as of Aug. 6). Nobody else even comes close.
After Tether and USDC come three smaller stablecoin issuers.
Ethena USDe
(CRYPTO: USDE)
has a market cap of $9.6 billion
(CRYPTO: DAI)
,
Dai
has a market cap of $5.4 billion, and
World Liberty Financial USD
(CRYPTO: USD1)
has a market cap of $2.2 billion.
Both Ethena USDe and Dai are used as part of sophisticated decentralized finance (DeFi) strategies, and probably have little appeal for the typical buy-and-hold investor. However, if you are familiar with strategies such as yield farming, they may be of potential interest.
The really interesting name here is World Liberty Financial USD, which is the official stablecoin of
World Liberty Financial
, the Trump family's crypto venture. The stablecoin launched earlier this year, and already ranks as one of the top five stablecoins in the world.
A possible change to the top five?
If there is a shakeup in the stablecoin rankings next year, it is likely to include Ethena USDe, Dai, and World Liberty Financial USD. The two top spots of Tether and USDC are unlikely to change. Perhaps USDC will gain some market share at the expense of Tether, but it's hard to see any major changes here.
However, there's reason to think that Ethena USDe and Dai will slip down the rankings. That's primarily due to one key reason: They may not comply with the Genius Act. In other words, they may no longer meet U.S. regulatory requirements. According to the Genius Act legislation, all stablecoin issuers must maintain a 1-to-1 peg to the U.S. dollar at all times, and back their stablecoins with either cash or cash equivalents.
The main reason Ethena USDe and Dai have been so successful in the past is because they have used a soft peg to the dollar. Instead of backing everything with cash or equivalents like U.S. Treasuries, they also use a mix of cryptocurrencies and blockchain smart contracts. So the new stablecoin legislation may entail a substantial rethink of their operations if they plan to do business in the U.S.
Another stablecoin that might slip down the rankings is World Liberty Financial USD. From my perspective, this stablecoin is primarily used to promote the business interests of World Liberty Financial and various Trump-backed crypto ventures. It has very little appeal for the average investor. Of course, if you were an investor in the
Official Trump
meme coin, then I can understand the potential allure of owning a Trump-affiliated stablecoin. But it's not for me.
Who's moving up the rankings?
So, if a few top stablecoins are likely dropping down the rankings next year, which stablecoins are on the ascent? Two that stand out for me are
PayPal USD
(CRYPTO: PYUSD)
, the official stablecoin of
PayPal
, and
Ripple USD
(CRYPTO: RLUSD)
, the official stablecoin of Ripple and its crypto token
XRP
(CRYPTO: XRP)
.
Both currently rank among the top 10 stablecoins in terms of market cap, according to stablecoin research from The Motley Fool. Both have strong brand-name appeal for crypto investors. Both have demonstrated utility. And, best of all, both are from U.S. stablecoin issuers (both PayPal and Ripple are based in California).
I really can't see any foreign stablecoins rapidly making their way up the list next year. It may sound odd at first, but foreign entities can and do issue dollar-pegged stablecoins. The sixth-largest stablecoin in the world,
First Digital USD
(CRYPTO: FDUSD)
is actually from a Hong Kong issuer.
Potential wild card factors
Where things get really interesting is when you consider the types of companies that might be entering the stablecoin fray during the next 12 months. Both
Amazon
and
Walmart
are reported to be pursuing stablecoins of their own. Tech giant
Meta Platforms
also may launch a stablecoin.
Apple
might as well.
These all rank among the biggest companies in the world, and it's easy to see how they could make an immediate impact. Imagine, for example, if Amazon told its customers, "Hey, we'll offer you a 3% price discount if you use our stablecoin instead of your credit card." Would you take them up on that offer? I would.
And that's what leads me to think that the list of the top stablecoin issuers might look very different next year. The potential use cases for stablecoins are just getting started.
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Dominic Basulto
has positions in Amazon, PayPal USD, USDC, and XRP. The Motley Fool has positions in and recommends Amazon, Apple, Meta Platforms, PayPal, Walmart, and XRP. The Motley Fool recommends the following options: long January 2027 $42.50 calls on PayPal and short September 2025 $77.50 calls on PayPal. The Motley Fool has a
disclosure policy
.
