Binance Grabs Two-Thirds of Shrinking Stablecoin Reserves

The stablecoin market has seen a significant contraction in its reserves, dropping by approximately $16 billion since its peak in late-2025 to about $64 billion. This decline represents around 20% of the high near $80 billion.

This reduction in liquidity has not affected all exchanges equally, with Binance expanding its share of stablecoin reserves from the low-60% range to 68.5%. In contrast, other major exchanges such as Coinbase and Bybit have seen their balances fall more sharply.

The concentration of stablecoin reserves around a single venue carries significant implications for traders assessing exchange-level liquidity risk. Binance's dominance in this area is further reinforced by its capture of 38.7% of centralized exchange spot volume in the second quarter, leaving Bybit in a distant second place at 10%.