Ethereum

Stablecoin

Shift

Arbitrum

Merge

<h2 id="key-points">Key Points</h2>
<ul>
 <li>Ethereum has reclaimed its position as the leading blockchain for Tether dominance, surpassing Tron.</li>
 <li>Ethereum now accounts for 44.56% of the Tether supply, slightly ahead of Tron’s 42.97%.</li>
</ul>
<p>Ethereum [ETH] has officially taken back its spot as the premier blockchain for Tether [USDT] dominance, outpacing Tron [TRX].</p>
<p>Recent market data indicates that Ethereum is now responsible for 44.56% of the Tether supply, marginally outstripping Tron’s 42.97%.</p>
<h2 id="ethereum-vs-tron-a-closer-look-at-the-figures">Ethereum vs. Tron: A Closer Look at the Figures</h2>
<p>Analysis of DefiLlama’s chart exposed the degree of Ethereum and Tron’s dominance in the stablecoin market.</p>
<p>Ethereum and Tron collectively held over 87% of Tether’s market share. Other blockchains, such as Binance Smart Chain [BSC] at 3.52% and Arbitrum [ARB] at 2.24%, held significantly smaller shares.</p>
<p>This highlights the duopoly in the stablecoin space, with Ethereum and Tron leading the way.</p>
<p>Tron had consistently been ahead in USDT transactions, supported by its low transaction fees and efficient network. However, Ethereum’s comeback can be attributed to its shift to a proof-of-stake (PoS) mechanism following the Merge and subsequent upgrades that have significantly reduced gas fees.</p>
<h2 id="active-address-trends">Active Address Trends</h2>
<p>Analysis of active addresses on Dune Analytics provides an interesting snapshot of user activity on both blockchains.</p>
<p>Ethereum has shown a steady upward trend, maintaining over 1.5 million daily active addresses, excluding smart contract interactions. This consistent growth highlights Ethereum’s utility beyond stablecoins, including DeFi, NFTs, and gaming.</p>
<p>On the contrary, Tron showed a relatively volatile trend in active addresses, with significant ups and downs over time. Despite these fluctuations, Tron remains a strong competitor, with almost double the number of active addresses recorded.</p>
<h2 id="implications-for-the-stablecoin-market">Implications for the Stablecoin Market</h2>
<p>Ethereum’s regained dominance in Tether supply signals its increasing competitiveness in the stablecoin market, particularly for institutional users.</p>
<p>The network’s scalability and fee reduction improvements seem to be working, attracting back users who migrated to cheaper alternatives like Tron.</p>
<p>Meanwhile, Tron’s near-parity with Ethereum suggests a healthy competition that benefits the broader blockchain ecosystem.</p>
<p>Its focus on affordability and accessibility ensures that it retains a substantial market share, catering to demographics underserved by Ethereum’s previously high costs.</p>
<p>At the time of writing, USDT holds over 70% of the stablecoin market share, with a market capitalization exceeding $133 billion.</p>

How Did Ethereum Overtake Tron in Tether Market Dominance? Unraveling the Shift

Table of Contents

CoinEagle.com

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