Tether has recently minted a staggering $1 billion in USDT on the Tron network, sparking discussions about whether Ethereum’s stronghold in the stablecoin ecosystem is beginning to waver. With Tron’s ability to process high-volume transactions at lower fees and faster speeds, there is speculation that Ethereum’s dominance may be challenged in the USDT ecosystem.
The latest data reveals a significant shift in stablecoin momentum away from Ethereum towards Tron. While Ethereum currently hosts approximately $74.5 billion in USDT, Tron is closing in on this figure and is on the verge of surpassing Ethereum. The chart illustrating Tron’s growth since early 2022 shows a steady increase in USDT supply, while Ethereum’s supply has plateaued and even experienced a slight decline in recent months. With Tether’s latest $1 billion mint on Tron, it appears that Tron is positioned to overtake Ethereum in the stablecoin hierarchy.
Tron’s transaction trend is on the rise, with daily transaction counts consistently exceeding nine million and occasional spikes nearing eleven million. This growth has accelerated since January 2025, indicating a rise in utility and adoption. Tron’s high transaction volume reinforces its position as the leading network for stablecoin transactions, particularly for USDT transfers.
Ethereum’s challenges with high gas fees pose a competitive disadvantage for the network in the stablecoin race. The cost of minting, transferring, and interacting with USDT on Ethereum is significantly higher than on Tron, leading issuers and users to opt for more cost-effective networks. Unless Ethereum addresses scalability and reduces costs beyond Layer 2 solutions, it is at risk of being surpassed by faster and more affordable alternatives.
In conclusion, the minting of $1 billion in USDT on the Tron network signals a potential shift in power within the stablecoin ecosystem, with Tron emerging as a strong contender against Ethereum. As Tron’s transaction volume continues to rise and Ethereum faces challenges with high fees, the balance of power in the stablecoin market may be on the brink of a significant change.