Ethereum Stablecoin Settlements Hit Record $2.8T As Traders Chase Yield In Slowdown

Ethereum stablecoin settlements soared to a record $2.82 trillion in October, rising 45% from September’s $1.94 trillion, according to The Block. The spike reflects aggressive liquidity rotation and yield-focused strategies amid a retreat from the recent bull-market peak.

USDC dominated with $1.62 trillion in volume, followed by USDT at $895.5 billion, both logging month-on-month increases. MakerDAO’s DAI ranked third at $136 billion, though down from September’s $141.2 billion and far below its May peak of $470.7 billion.

Analysts say traders piled into stablecoins to pursue higher-yield DeFi products, especially liquid yield tokens, following the Circle IPO buzz and the Genius Act. With Bitcoin sliding 11.5% to $108,229 and Ethereum down 16.4% to $3,754, investors are cycling capital into stable assets and preparing to buy dips. Kronos Research CIO Vincent Liu noted that elevated stablecoin flows signal strategic liquidity management during a period of profit-taking and market recalibration.

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