Dune Data Shows USDT Dominates Payments While USDC Leads DeFi Activity

The largest stablecoins are increasingly functioning as chain-specific financial products, with Tether’s USDt (USDT) and Circle’s USDC taking on distinct roles across the crypto ecosystem rather than directly competing. According to Cointelegraph, Dune’s Digital Asset Brief found USDT overwhelmingly leads onchain commerce payments, while USDC has become the dominant stablecoin in decentralized finance activity. In the first half of 2026, USDT settled about $95 billion in identified commerce payments versus $14 billion for USDC, and it represented roughly 92% of the $48 billion in business-to-business payment volume. On Tron, USDT’s largest network, around 93% of the token’s supply is held in ordinary wallets rather than on exchanges, a distribution pattern that aligns with its use in payments and remittances.

USDC’s activity was concentrated in trading and DeFi, with Base and Ethereum standing out as key venues for transfer volume. USDC on Base processed roughly $2.6 trillion in transfer volume in June, the highest of any token-chain pair, while USDC on Ethereum handled another $1.6 trillion. Dune also reported that USDC on Base recorded daily velocity of about 20 times its circulating supply in June, reflecting frequent reuse in trading and DeFi workflows. The report argued these patterns make the traditional USDT-versus-USDC framing less informative, as each stablecoin appears to be specializing—USDT in payments and USDC in market activity tied to DeFi and trading. Dune added that USDT’s supply is split almost evenly between Tron and Ethereum, while USDC remains heavily concentrated on Ethereum despite expanding to newer blockchains.

The findings arrive as USDT and USDC continue to dominate the stablecoin market. Together, they account for roughly 83% of the sector’s approximately $315 billion market capitalization, based on Dune’s tracking of more than 200 stablecoin tokens across multiple blockchains. In parallel, the U.S. regulatory environment for stablecoins and digital assets is evolving. The GENIUS Act, signed into law in 2025, established the first federal regulatory framework for payment stablecoins and opened a clearer path for banks and other companies to issue US dollar-pegged digital assets. Lawmakers are also debating the CLARITY Act, which would define when crypto assets fall under the jurisdiction of the US Securities and Exchange Commission or the US Commodity Futures Trading Commission; while it does not regulate stablecoins directly, it would shape the broader environment for issuers, exchanges, and DeFi platforms. CLARITY cleared the Senate Banking Committee in May and could receive a full Senate vote before the August recess, though Galaxy recently reduced its odds of passage before the break to 50% as lawmakers run short on time.