Stablecoin usage expanded sharply in 2025, driving growth in crypto payments and on-chain trading even as broader market activity cooled, according to industry data.
The trend comes as U.S. policymakers debate how tightly to regulate dollar-pegged digital tokens—a move that a senior Coinbase executive warned could hand China a strategic advantage if handled poorly.
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Stablecoins Evolved In 2025
Bitget Wallet reported that increased on-chain activity across trading, payments, and yield products reflects a shift in how users interact with crypto wallets.
Rather than serving primarily as tools for traders, wallets are increasingly being used for everyday spending and asset management, the company said.
On-chain trading activity strengthened through much of the year. Monthly swap trading volume on Bitget Wallet exceeded $900 million, up 232% year over year.
Meanwhile, on-chain derivatives activity also accelerated, with monthly perpetual futures volume nearing $5 billion—an increase of 291% from a year earlier.
Payments Drive Stablecoin Demand
Payments emerged as a growing driver of wallet usage.
Bitget Wallet said spending through its crypto-linked card rose more than sixfold in monthly volume since the product launched in July.
Stablecoin-based yield products also gained traction as investors sought more predictable returns.
Subscriptions to Bitget Wallet’s earn products approached $200 million per quarter by late 2025, more than ten times higher than at the start of the year.
“The data from 2025 points to a clear shift in how wallets are used,” said Jamie Elkaleh, chief marketing officer of Bitget Wallet.
2025 Stablecoin Regulatory Concerns
As stablecoin adoption grows, regulatory decisions in Washington are drawing increased scrutiny.
Faryar Shirzad, Coinbase’s chief policy officer, warned that restricting rewards or interest on U.S.-issued stablecoins could undermine their competitiveness at a time when China is moving in the opposite direction.
Shirzad pointed to a recent announcement from the People’s Bank of China that it plans to pay interest on the digital yuan, arguing that the move highlights what is at stake in U.S. legislative debates.
“If this issue is mishandled, it could give non-U.S. stablecoins and central bank digital currencies a critical competitive advantage at the worst possible time,” Shirzad said.
“Lobbyists for entrenched incumbents will always fight change,” Shirzad added.
“It’s critical for negotiators to protect the primacy of the U.S. dollar and the U.S. financial system, not just incumbent interests.”
Global Stablecoin Issues
Meanwhile, global stablecoin adoption has been mixed.
It was recently reported that South Korea’s much-awaited stablecoin regulations have once again been postponed.
The Digital Asset Basic Act, also referred to as Phase 2 of the Virtual Asset Act, has been delayed until 2026.
This bill aims to establish rules for stablecoin issuance, which includes licensing, reserve management and investor protections.
Back in the U.S., The Information reported that JPMorgan had frozen bank accounts tied to two fast-growing stablecoin startups, Blindpay and Kontigo.
The suspensions were reportedly related to gaps in customer identity checks and activity in high-risk regions, including Venezuela.
