Stablecoin hub
Your complete guide to stablecoins for business, from what they are and how they work, to practical strategies and the latest industry insights.
Stablecoins 101
Stablecoins are a type of cryptocurrency designed to maintain a stable value by pegging their worth to a reserve asset.
Those can include:
the u.s. dollar
the euro
gold
Unlike traditional cryptocurrencies like Bitcoin, which can fluctuate wildly in price, stablecoins aim to provide consistency and reliability. This stability makes them useful for everyday transactions, international remittances, and as a store of value.
There are different types of stablecoins, including fiat-backed, crypto-backed, and algorithmic. They play a crucial role in decentralized finance (DeFi) and act as a bridge between traditional financial systems and blockchain-based digital economies.
Stablecoins 101
What are the Different Types of Stablecoins?
Stablecoins come in several types based on how they maintain price stability.
Fiat-backed stablecoins
Fiat-backed stablecoins are backed 1:1 by traditional currencies like the U.S. dollar and held in reserve (e.g., USDC, USDT).
Crypto-backed stablecoins
Crypto-backed stablecoins use cryptocurrencies as collateral and are often over-collateralized to manage volatility (e.g., DAI).
Algorithmic stablecoins
Algorithmic stablecoins maintain value through code-based supply and demand mechanisms without actual collateral, though they carry higher risk.
Commodity-backed stablecoins
Commodity-backed stablecoins are pegged to assets like gold or oil.
Stablecoin Regulation
Are Stablecoins Regulated?
The Markets in Crypto-Assets Regulation (MiCAR) is the EU’s comprehensive framework for regulating crypto-assets, including stablecoins.
Under MiCAR, stablecoins are classified as “asset-referenced tokens” or “e-money tokens,” depending on their structure. Issuers must be authorized, meet strict reserve and capital requirements, and provide clear whitepapers. Large-scale stablecoins face additional rules to limit systemic risks.
MiCAR also enforces consumer protection, transparency, and supervision by the European Banking Authority (EBA) and national regulators. The regulation aims to ensure financial stability, foster innovation, and create a single EU-wide framework for crypto-assets.
MiCAR began applying in phases starting in mid-2024.
Stablecoin Use Cases
What are some Stablecoin Use Cases?
Stablecoins have a wide range of practical use cases across the digital economy, including:
Cross-border payments
Enable fast, low-cost international transfers.
Decentralized finance (DeFi)
Used as stable collateral for lending, borrowing, and trading.
Remittances
Allow workers to send money home efficiently with minimal fees.
Merchant payments
Provide a stable medium for accepting crypto payments.
Payroll and salaries
Used by companies to pay employees globally.
Sources: Nilos, USDC.com, and Chainalysis
Stablecoin Trends
Stablecoin Adoption
Will 2025 be the tipping point for stablecoin adoption?
We think so. Here’s why:
The total supply of stablecoins has increased by 28% year-over-year, reaching over $208 billion in circulation. And surveys indicate that many businesses are adopting stablecoins: 90% of companies are taking action, with 46% already using stablecoins for payments and 23% running pilot programs.
Major companies like PayPal and Visa are actively integrating stablecoins, reflecting growing confidence in their use. Stablecoins also have the potential to improve financial inclusion, serving up to one billion underbanked people worldwide.
And perhaps most crucially, regulatory clarity is improving, especially with the EU’s MiCAR regulation, which provides clear rules for stablecoin issuance and supervision.
Stablecoin Companies
Best Stablecoin Companies in 2025
We’ve compiled a comprehensive database of the best stablecoin companies in 2025, covering a wide range of areas including remittances, cross-border payments, Banking-as-a-Service (BaaS), and more. This resource highlights key players driving innovation and adoption across the stablecoin ecosystem, helping businesses and individuals navigate the rapidly evolving digital currency landscape.
