What are the stablecoins: a complete overview of leading projects 2025-2026

The cryptocurrency market is constantly evolving, and stablecoins are playing an increasingly important role in it. These digital assets, pegged to traditional currencies or other assets, have become an indispensable tool for traders, investors, and DeFi protocol users. But what stablecoins are available on the market? And what characteristics should you pay attention to when choosing one? Let’s take a closer look.

What Are Stablecoins

Stablecoins are cryptocurrencies whose value is fixed and tied to a real asset. In most cases, this peg is to fiat currency (dollar, euro), less often to commodities like gold or even other cryptocurrencies. The peg ensures that the price of the stablecoin remains relatively stable, unlike volatile assets like Bitcoin or Ethereum.

The principle of operation is based on reserves. Each issued stablecoin must be backed by an equivalent amount of reserve assets held in the issuer’s accounts. For example, one USDT theoretically equals one US dollar held in reserve. However, history has shown that the peg can be broken if the issuer faces financial difficulties — a notable example is TerraUSD (UST), which completely lost its value in 2022.

Main Types: Centralized and Decentralized

There are two types of stablecoins on the market. Centralized ones are issued by companies (Tether, Circle, Binance) and depend entirely on their honesty and financial reliability. Decentralized (like DAI) are created through smart contracts and managed by the community, although they can be more complex to use.

Each type has its advantages: centralized stablecoins are more reliable and straightforward, while decentralized ones offer greater independence from intermediaries.

Market Leaders: USDT and USDC

USDT (Tether) remains the most widespread stablecoin. Launched in 2014, it was a pioneer offering users a digital dollar independent of any specific platform. According to the latest data, Tether holds assets exceeding $86 billion with obligations of about $83 billion, confirming a reliable 1:1 peg to the dollar.

USDC (USD Coin), created by Circle in 2018 and managed by the Centre consortium—which includes Coinbase, Bitmain, and other major players—has a current circulation of $73.14 billion (as of February 2026). USDC is considered a more transparent alternative to USDT and is actively used on decentralized exchanges (DEX). The token complies with the ERC-20 standard, ensuring compatibility with many wallets and applications.

Other Centralized Solutions

TUSD (True USD) was launched in 2018 by TrustToken and PrimeTrust to address trust and transparency issues in the sector. Its main feature is the use of independent escrow accounts to hold user funds, which are inaccessible to the issuer. This minimizes the risk of misappropriation. Its current market cap is approximately $493.92 million. TUSD also conducts independent real-time audits of its reserves.

BUSD was issued by Binance in partnership with Paxos Trust. It operated on the Ethereum and Binance Chain (BEP-2 standard), but in November 2023, Binance announced the gradual discontinuation of support for this stablecoin. At the time of the announcement, BUSD ranked fifth by market capitalization, but its share was quickly overtaken by other projects.

Decentralized Alternatives

DAI is the only major decentralized stablecoin created by the Maker protocol on the Ethereum blockchain. Launched in 2018, DAI is generated not by a company but by the decentralized autonomous organization MakerDAO. The mechanism is simple: users deposit crypto assets (Bitcoin or Ethereum) into Maker Vault smart contracts in exchange for DAI. Thanks to algorithmic governance, DAI maintains a soft peg to the dollar (1:1). Its current market capitalization reaches $4.19 billion.

eUSD and peUSD from Lybra Finance are innovative next-generation stablecoins. Their uniqueness lies in paying interest to holders. They are collateralized by liquid staking tokens (LST), issued when users stake native crypto assets in a PoS protocol. This way, users get both stability from the stablecoin and staking income — a rare combination.

Synthetic USD and Experimental Approaches

Synthetic USD are more complex solutions for those seeking dollar stability without traditional banks. The mechanism involves hedging two correlated assets. For example, a user can open a $100 Bitcoin position on a futures exchange, simultaneously hedging against price increases so that potential losses are offset. Galoy, a company developing banking infrastructure based on Bitcoin, offers a feature called Stablesats, allowing access to stable USD prices via BTC.

Benefits of Stablecoins for Investors

Stablecoins solve several key problems. First, they serve as a bridge between the fiat economy and the crypto world, enabling quick entry and exit from positions. Second, low fees for international transfers make them attractive for residents of developing countries with unstable local currencies.

For residents of economies with high inflation, stablecoins become a tool for preserving savings. Holding USDC or USDT is practically equivalent to holding US dollars, but with the advantage of fast cross-border payments and access to the global financial system without needing a bank account.

In the DeFi sector, stablecoins play a critical role. They serve as the main collateral for many lending and borrowing protocols, as their price remains stable unlike Bitcoin and Ethereum. This ensures system reliability.

Risks to Watch Out For

Despite numerous advantages, stablecoins are not without risks. The main risk is the peg break. If the value of the reserve asset drops or the issuer faces financial difficulties, the coin may lose its stability. History has repeatedly shown this.

Another risk is regulatory uncertainty. Regulators worldwide are just beginning to develop policies regarding stablecoins, creating long-term uncertainty. The third is network congestion, which can cause delays in transaction processing and deprive users of instant access to funds.

To assess the reliability of stablecoins, there is a rating agency called Bluechip, which publishes evaluations of economic security, data on collateral types, market value, and current price of each project. It’s advisable to review such ratings before investing.

How to Buy Stablecoins

The easiest way is to purchase stablecoins on a centralized exchange with fiat currency. Most platforms (including Gate.io) offer this option. Alternatively, you can exchange other cryptocurrencies like Bitcoin or Ethereum.

Experienced users prefer buying on decentralized exchanges via P2P marketplaces. This approach is non-custodial and allows full control over private keys.

Conclusions

The stablecoin market continues to expand, and the options available are constantly supplemented by new projects. From centralized leaders like USDT and USDC to innovative decentralized solutions like DAI and interest-bearing eUSD — the choice is quite broad. Each type has its features and risk profiles.

When choosing a stablecoin, it’s important to consider its purpose (trading, savings, DeFi), the level of centralization you are willing to accept, and the reputation of the issuer. As the stablecoin market develops, it’s recommended to conduct your own research and stay updated on industry news.