Stablecoin Market Shrinks $7.7 Billion in June Amid Broader Crypto Sell-Off

The stablecoin market experienced its largest monthly contraction since the Terra-Luna ecosystem collapse in May 2022, shrinking by approximately $7.7 billion in June.

This decline reduced the total stablecoin market to roughly $312 billion by the end of June, representing a 2.4% monthly decrease and the first month-end contraction in five months.

The majority of this contraction came from Tether's USDT and Circle's USDC, which saw their circulating supplies decline by about $6 billion and $7 billion respectively.

Despite this contraction, stablecoin activity remained robust, with centralized exchange trading volumes settling in stablecoins increasing approximately 10.8% during June to $981 billion.