The total supply of stablecoins in existence has doubled to 12 billion, following an increased demand sparked off by the March 12 (Black Thursday) 50% crypto price crash.
The findings from the latest research study by Coin Metrics, which is sponsored by Bitstamp, show that it took a period between March 12 and the first half of July to add 6 billion stablecoins.
Before this addition, it had taken five years for global supply to reach the initial 6 billion.
The data appears to show that within two weeks of the crash, “over 800 million new USDT_ETH were issued.” This contrasts with “about 740 million USDT_ETH (that) were issued from January 1st through March 11th.”
Supply of another stablecoin, USDT_TRX would increase by “over 2B by the end of June.”
Other stablecoins rose as well, but by no more than a few hundred million. Tether, once again, led the way by a large margin.
Furthermore, the findings also show that addresses with at least $1M worth of USDT_ETH hold about 4.35B units of the total supply.
On the other hand, addresses holding $1,000 or less are a tiny portion of the overall supply.
Data also shows that the amount of USDT_ETH held by these large addresses increased by a significant amount in late-March and April, which suggests exchanges were suddenly holding larger amounts of stablecoins.
Coin Metrics suggests that exchanges make up a large portion of the addresses holding $1M worth of USDT_ETH or greater.