Near Protocol's Stablecoin Boom Fuels Recovery Hopes

NEAR Protocol is showing signs of recovery as its on-chain fundamentals improve and technical setup strengthens. Despite being below its yearly highs, investors are focusing on the growing stablecoin liquidity and ecosystem activity.

The total stablecoin supply on NEAR has surged 98% in the past week to approximately $128 million, according to DefiLlama data. This rapid expansion indicates growing liquidity entering the blockchain, supporting higher DeFi activity and user participation.

The proposal for a Protocol Sovereign Fund by co-founder Illia Polosukhin aims to allocate 30 million NEAR tokens into a professionally managed treasury generating sustainable yield. If implemented, this could evolve NEAR's tokenomics and strengthen its long-term value proposition.