The fiat-backed stablecoin market experienced a significant surge of 76% from 2024 to 2025, reaching a record value of $224.9 billion. However, not all entrants in this market were able to participate equally in the rally. The majority of growth was driven by USDT and USDC, which make up 93.5% of the circulating supply. Other newcomers such as USDtb by Ethena and USD0 by Usual also made impressive debuts. In contrast, traditional finance-backed stablecoins like PayPal’s PYUSD and SocGen’s EURCV struggled to gain traction, despite their brand recognition and regulatory alignment. This highlights the challenges that traditional financial institutions face in competing with established crypto-native players. However, there is still potential for future entrants, especially as the US moves closer to regulatory clarity.
Meanwhile, commodity-backed tokens experienced a 67.8% increase in market cap during the same period, reaching a record value of $1.9 billion. This growth was largely influenced by the rally in gold prices, as investors turned to the metal as a hedge against economic volatility. However, commodity-backed tokens still make up a small portion (0.8%) of the total value of fiat-backed stablecoins. Tether Gold (XAUT) and PAX Gold (PAXG) remain the dominant players in this category, accounting for 84% of the total market cap. Interestingly, this surge in market value did not coincide with an increase in token issuance, indicating that the demand for tokenized commodities remained relatively flat and was driven by asset appreciation rather than increased adoption.
In addition to stablecoins and tokenized commodities, the tokenized treasury market saw explosive growth in 2025. In April of that year, the total market cap reached an all-time high of $5.6 billion, a 544.8% increase from the previous year. This was largely driven by the introduction of sweeping trade tariffs by the US, which led to a flight to safer assets. BlackRock’s BUIDL token, launched in July 2024, quickly became the leader in this category, accounting for 44% of the total market by April 2025. The product saw a staggering growth of 372% in 2025, ending April with $2.5 billion in tokenized treasuries. These digital assets are now issued across several blockchains, in accordance with SEO standards.
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