The market cap of stablecoins on the Solana blockchain increased by a whopping $900 million in 24 hours on Tuesday.
According to DefiLlama, stablecoins, i.e. blockchain tokens backed by fiat currencies, achieved a market capitalization of 15.3 billion US dollars in the Solana network.
The dramatic surge came after DeFi platform Jupiter launched its own stablecoin JupUSD, developed in collaboration with Ethena, a synthetic stablecoin issuer.
Solana’s stablecoin ecosystem has so far been dominated by Circle’s USDC (USDC), a U.S. dollar-pegged token that accounts for over 67% of the network’s total stablecoin market cap.
The rise of stablecoins on Solana reflects increased investment activity and investor interest as the Solana ecosystem now emerges as a major hub of digital capital markets, where value and risk are transacted entirely via onchain rails.
Stablecoins are playing an increasingly important role
Stablecoin settlement volume increased by 87% in 2025, according to financial ratings agency Moody’s Investors Service.
Stablecoins are an important infrastructure for tokenized real-world assets (RWAs), which are physical or traditional assets represented on the blockchain, according to Moody’s. Tokenized RWAs require stablecoins for liquidity and settlement on the blockchain.
Tokenizing assets opens up new use cases, such as the ability to use traditionally illiquid asset classes such as art, real estate and collectibles as collateral for loans in DeFI applications.
Several traditional financial institutions expect the RWA market to grow to $30 trillion by 2030.
Stablecoins are among the pioneers of this growth. The total market capitalization of fiat-backed stablecoins – tokens backed by fiat cash deposits and government bonds at a 1:1 ratio – is approaching $300 billion, according to RWA.xyz.
According to the GENIUS Act, signed by US President Donald Trump in July 2025, regulated payment stablecoins must be backed by high-quality liquid assets at a 1:1 ratio, effectively eliminating algorithmic or under-collateralized models.
Algorithmic stablecoins that use software or complex market transactions to maintain their peg to fiat currencies are not recognized under the GENIUS Act.
The GENIUS Act also prohibits stablecoin issuers from passing interest income directly to customers – a provision that has sparked debate about the future role of banks.