USDT Volume Hit A Record $4.4 Trillion In Q4 2025, Tether Report Shows

bitcoinistPublished on 2026-02-06Last updated on 2026-02-06

Abstract

Tether's Q4 2025 report reveals record-breaking growth for USDT, with on-chain transfer volume surging to $4.4 trillion. The number of users grew by 35.2 million, reaching a total of 534.5 million, marking the eighth consecutive quarter of adding over 30 million users. Active users hit an all-time high of 24.8 million. Retail transaction volume also reached a new peak of 2.2 billion, with 88.2% being under $1,000. Despite a bearish crypto market in October, USDT's market cap grew to $187.3 billion, and it outperformed the broader market, gaining 3.5% while major cryptocurrencies declined. Bitcoin was trading around $65,800, down over 9% in 24 hours.

A new report from Tether shows USDT saw growth in several metrics during the last quarter of 2025, including a new record in transfer volume.

Tether’s USDT Set A New Transfer Volume Record In Q4 2025

USDT issuer Tether has released its market report for Q4 2025 and it shows several new records for the largest stablecoin by market cap. First, the number of USDT users increased by 35.2 million during the period, taking the total to 534.5 million.

The quarterly growth in USDT users over the last couple of years | Source: Tether

In this count, Tether has included both the users who have received and used USDT for at least 24 hours on-chain, as well as the estimates of users that have received the stablecoin on centralized platforms like exchanges.

From the above chart, it’s visible that Q4 2025 was the eighth consecutive quarter in which Tether’s stablecoin saw growth of more than 30 million users. In terms of active users, the quarter set a new all-time high (ATH) with an average of 24.8 million users receiving USDT at least once inside a 30-day rolling window. “This accounts for 68.4% of all stablecoin monthly active users,” noted the report.

On-chain transfer volume also set a new ATH in this quarter, hitting a value of $4.4 trillion following a jump of $248.6 billion.

The stablecoin's transaction volume saw a notable rise over the past year | Source: Tether

As displayed in the chart, the USDT transfer volume stood at just $1.7 trillion in Q3 2024, so the sharp jump to $4.4 trillion since then indicates demand for using the stablecoin has seen a notable boost. “Of this $4.4T quarterly total, $2.8T (63.6%) was in transactions where USD₮ was the only asset transferred, and $1.6T (36.4%) was in transactions where multiple assets were transferred (typically in DeFi swaps),” said the report.

There has also been growth in transaction demand among the retail investors, as the number of transfers involving the stablecoin jumped by $313.1 million in Q4 to a new ATH of 2.2 billion. 88.2% of these transactions involved a sum less than $1,000.

The capital invested in the stablecoin itself also saw an increase during the quarter, with the market cap hitting $187.3 billion after inflows of $12.4 billion.

Looks like the token's market cap has seen steady growth | Source: Tether

The growth in the USDT market cap occurred despite the fact that the wider cryptocurrency market saw a bearish transition in October. That said, the downturn still affected the token to some degree as before the market slowdown, its monthly market cap growth rate was sitting at 4.9%, which declined in the aftermath of the liquidation squeeze of October 10th.

Overall, between October 10th and today, USDT has been among the more resilient cryptocurrencies, being up 3.5% while the combined sector has lost more than a third of its market cap. In the same period, USDC, the second largest stablecoin, has seen a drop of 2.6%.

Bitcoin Price

At the time of writing, Bitcoin is trading around $65,800, down more than 9% over the last 24 hours.

The price of the coin seems to have been crashing | Source: BTCUSDT on TradingView

STAR 50 Soars 10.73%, Why Did A-Shares Stage a "V-Shaped Reversal"?

After a prolonged decline, the Chinese A-share market staged a strong rally on July 21. The STAR 50 index surged 10.73%, its largest single-day gain in nearly a year, leading a broad-based "V-shaped" reversal. The Shanghai Composite Index rose 1.79%, the Shenzhen Component Index gained 4.81%, and the ChiNext Index jumped 7.05%. Total market turnover reached 2.97 trillion yuan, an increase of 256.1 billion yuan from the previous session, with over 3,100 stocks advancing. The semiconductor sector spearheaded the rebound, with related ETFs posting significant gains. Analysts attribute the surge to three converging factors. First, coordinated capital inflows from "national team" institutions, insurance funds, listed company buybacks, and fund house self-purchases have bolstered market liquidity and confidence. Second, supportive policy signals, including commitments from regulators to ensure stable market operations, provided a favorable backdrop. Third, a stabilization and recovery in overseas markets, notably South Korea, created a positive external environment. Institutions suggest the most severe panic selling phase for the tech sector has likely passed, following a significant digestion of crowded positions and leveraged funds. While short-term volatility may persist, the medium to long-term outlook remains underpinned by enduring trends like AI computing demand expansion and semiconductor localization. The market's focus now shifts to the sustainability of supportive fund flows, earnings reports, and upcoming catalysts from the global AI industry chain.

marsbit40m ago

STAR 50 Soars 10.73%, Why Did A-Shares Stage a "V-Shaped Reversal"?

marsbit40m ago

U.S. Tech Momentum Stocks Post Largest Single-Day Gain Ever, But Is the Plunge Over?

US tech momentum stocks staged a sharp rebound on Tuesday (July 21st). Morgan Stanley's TMT Momentum Factor surged over 12%, marking its largest single-day gain on record, exceeding even peaks from the 2000 dot-com bubble. Key momentum indices from Goldman Sachs also posted their strongest daily performances in years. The rally was led by semiconductors, with the Philadelphia Semiconductor Index jumping 4.6%. This rebound followed three consecutive down days and a cumulative 33% plunge in momentum stocks, one of the steepest drawdowns since the dot-com era. Analysts attribute the surge largely to a short squeeze. Heavy selling had pushed high-beta momentum stocks into deeply oversold territory, forcing many short sellers, particularly in Asia, to cover their positions, creating a self-reinforcing buying spiral. However, the rebound's internals appear weak. Trading volume was notably low, and advancing stocks still lagged decliners on the S&P 500, indicating a narrow, concentrated rally rather than broad market participation. Diverging views emerge on the outlook. BTIG warns the bounce has hit key resistance and recommends selling into strength, citing extreme volatility and historical parallels to past market tops. Conversely, Goldman Sachs and UBS believe the momentum unwind is nearing its end, suggesting it may be time to gradually add exposure, as positioning has been significantly reduced. They caution, however, that high volatility warrants a measured approach, potentially using defined-risk strategies. The upcoming earnings season, particularly reports from major tech firms like Alphabet, is seen as a critical test for the rally's sustainability. Simultaneously, bond markets flashed a warning, with yields rising partly due to spiking oil prices. Analysts note that if long-term Treasury yields break decisively higher, it could pose a significant headwind for equities, especially growth stocks.

marsbit47m ago

U.S. Tech Momentum Stocks Post Largest Single-Day Gain Ever, But Is the Plunge Over?

marsbit47m ago

U.S. Tech Momentum Stocks Record Largest Single-Day Gain Ever, but Has the Rout Ended?

U.S. tech momentum stocks staged a dramatic rebound on Tuesday, July 21st. Key momentum indices like the Morgan Stanley TMT Momentum Factor and Goldman Sachs' High Beta Momentum Long Index posted historic or near-historic single-day gains, fueled largely by semiconductor stocks. This sharp rally followed a severe three-day sell-off that saw momentum stocks plunge 33%, marking one of the steepest pullbacks since the dot-com bubble. Analysts attribute the bounce primarily to a short squeeze, as forced covering from over-leveraged traders, particularly in Asia, created a buying spiral. However, the rally's health is questioned due to weak market breadth—overall trading volume was low, and decliners outnumbered advancers in the S&P 500 despite the index's gain—suggesting a narrow, concentrated surge rather than broad recovery. Opinions on the sustainability diverge. BTIG strategists warn the rebound has hit key resistance levels, citing extreme volatility and historic stock dispersion as signs of an ongoing broader correction, and recommend selling into strength. Conversely, Goldman Sachs and UBS view the aggressive momentum unwinding as nearing its end, noting reduced positioning and a lack of new fundamental catalysts. They suggest the sell-off presents a selective opportunity to add exposure, albeit cautiously and gradually using defined-risk strategies. The immediate trajectory hinges on the ongoing earnings season, with market focus on Alphabet's capital expenditure guidance for AI investment clarity. Meanwhile, bond markets present a risk, with rising Treasury yields—potentially heading toward 5.5%—and widening credit spreads for mega-cap tech companies posing a threat to equity valuations. The combination of technical factors, earnings results, and macro conditions leaves the durability of the rebound in doubt.

链捕手49m ago

U.S. Tech Momentum Stocks Record Largest Single-Day Gain Ever, but Has the Rout Ended?

链捕手49m ago

Bitcoin flashes 3 macro-bottom signals – But can BTC reach $70K?

The article discusses Bitcoin's recent price movement above $66,000 and a shift in market analysis from focusing on a local bottom to a potential macro-cycle bottom. It cites a crypto analyst noting that BTC has flashed three historical technical signals that previously coincided with major market bottoms in 2015, 2019, and 2022, suggesting the current zone could be a strong long-term accumulation area. However, the article also highlights a significant challenge: despite the price breakout, on-chain data shows a lack of supporting liquidity. Stablecoin dominance is rising while the total stablecoin market cap is shrinking, with capital continuing to leave exchanges. This divergence indicates that while the technical setup is bullish, the rally may struggle to sustain enough momentum for a decisive move into the $70,000 region without an influx of fresh capital.

ambcrypto52m ago

Bitcoin flashes 3 macro-bottom signals – But can BTC reach $70K?

ambcrypto52m ago

Long-Divided Must Unite, Long-United Must Divide: When L1 Becomes Its Own Rollup, What Is Ethereum's Endgame?

"The Inevitable Cycle: When L1 Becomes Its Own Rollup – What is Ethereum's Endgame?" For years, the Ethereum community grappled with concerns that L2s were fragmenting the ecosystem and eroding L1's value. While L2s provided cheaper execution, they also splintered liquidity and the unified user experience of a single chain. This has prompted a fundamental reassessment of the relationship between L1 and L2. Ethereum's roadmap is evolving. The "Scale" initiative merges L1 and L2 expansion into a holistic framework. L1 itself is advancing with higher gas limits, statelessness, and zkEVM verification, no longer content to be just a low-throughput settlement layer. Consequently, the primary value proposition of L2s is shifting from merely providing cheap blockspace to offering L1 cannot easily provide: application-specific optimizations, privacy features, and flexible governance models. L2s are becoming a spectrum of execution environments with varying degrees of security inheritance from Ethereum. A critical challenge in this multi-chain future is interoperability. The vision is to make Ethereum "feel like one chain again." This relies on advancements in native account abstraction (like EIP-7702) and intent-based architectures (Open Intents Framework), where users declare desired outcomes, and solvers handle the complex cross-chain execution. Furthermore, shortening Ethereum's finality time from minutes to seconds is crucial, as it underpins trust between chains for bridges, stablecoins, and cross-chain applications. Perhaps the most provocative idea is that Ethereum L1 itself could become a form of "its own Rollup." As zkEVM and proof systems mature, high-performance nodes could execute transactions and generate validity proofs. Regular validators would then verify these proofs instead of re-executing all transactions. This blurs the traditional L1/L2 hierarchy, making "Rollup" more of a general execution-verification architecture. Native Rollup aims to integrate L2 validation more directly into the Ethereum protocol, allowing L2s to inherit L1's security more fully and move away from reliance on security councils. In the end, L2s are not destined to replace L1 or be made obsolete by it. The likely future is a unified system where diverse execution environments—each optimized for specific use cases like DeFi, gaming, or privacy—coexist. They will share a common foundation of security, liquidity, and verifiable state, seamlessly connected to restore a cohesive user experience. The next phase for Ethereum is not just about scaling through separation, but about intelligently reintegrating what was separated back into a coherent whole.

链捕手1h ago

Long-Divided Must Unite, Long-United Must Divide: When L1 Becomes Its Own Rollup, What Is Ethereum's Endgame?