- Tether’s TUSD has overtaken BUSD’s supply for the first time since Paxos halted BUSD minting.
- TUSD’s market cap now exceeds $3.4 billion after a 15.6% supply surge over 3 days.
- With BUSD crumbled by scrutiny of its issuer, rival stablecoin TUSD seized the top spot on leading crypto exchange Binance.
For the first time since Binance’s BUSD launch, TrustToken’s TUSD has surpassed BUSD’s market supply following recent regulatory setbacks.
According to data from September 5, TUSD’s circulation now exceeds BUSD’s $2.8 billion market cap. This crossover comes as BUSD-issuer Paxos halted minting and Binance discontinued support amid pressure from U.S. authorities.
In the past three days alone, TUSD’s supply grew nearly 15.6% to over $3.4 billion. Meanwhile, BUSD’s valuation declined without Binance’s backing. Multiple factors contributed to TUSD’s sudden rise. For one, Binance introduced new TUSD trading pairs and staking options through its Launchpool program. This expanded the use case for Tether’s stablecoin.
TUSD also benefited from BUSD’s regulatory woes. Now TUSD sits in the top stablecoin position on the world’s largest crypto exchange. The changing landscape illustrates how regulatory actions can significantly disrupt stablecoins’ market standing. BUSD once held an advantage but lost ground rapidly due to its issuer’s legal scrutiny.
According to the current updated data from CoinGecko, TUSD currently has a market cap of $3.4 billion, with BUSD right behind with a $2.8 billion market cap. TUSD is currently tradeable on 54 exchanges, while BUSD is available on 107 exchanges. The data also shows that in the last 30 days, the market cap of BUSD has plunged by 16.8%.
As rival TUSD now surges, BUSD faces an uphill battle to regain dominance. The situation exemplifies the fickle nature of stablecoin competition, dictated by external regulatory forces beyond each token’s control.