BitBullNews Stablecoin Flow Monitor – August 03-10: USDC Returns To Solana

Stablecoin liquidity returned to growth this week, but the headline market number tells only part of the story.

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BitBullNews Stablecoin Flow Monitor – July 27 – August 03: Supply Falls, DeFi Rebuilds The stablecoin market contracted this week. The capital that remained became more active inside DeFi. DefiLlama recorded total stablecoin market capitalization of $307.34 billion,…

DefiLlama’s current series showed $300.74 billion of stablecoin market capitalization at the August 10 cutoff, up $884 million, or 0.29%, over seven days. USDC supplied the largest major-product increase, adding an estimated $367 million to $72.33 billion. USDT moved the other way, declining by roughly $128 million to $183.10 billion.

The more important shift happened underneath those totals.

On Solana, USDC increased by roughly $410 million while USDT fell by almost $398 million. The network’s overall stablecoin balance still rose by about $84 million to $15.72 billion. In other words, Solana did not simply attract new dollar liquidity. It replaced one major form of liquidity with another.

RLUSD also reversed direction. Its market capitalization increased 8.25% to roughly $1.58 billion, with XRP Ledger adding about $89 million and Ethereum another $27 million. The move reversed much of the contraction recorded in the previous BitBullNews monitoring period.

DeFi deployment strengthened faster than supply.

Stableflows recorded $10.21 billion of stablecoins inside its tracked DeFi protocols, up $450 million from the previous BitBullNews snapshot. Its tracked stablecoin supply increased only $390 million to $253.71 billion. Utilization moved from 3.9% to 4.0%.

Solana produced the strongest deployment signal. Its tracked stablecoin TVL jumped by nearly $297 million to $1.24 billion while tracked stablecoin supply fell slightly. Utilization climbed from 8.6% to 11.4%.

That is a cleaner constructive signal than last week’s denominator-driven increase.

The market added stablecoins. More importantly, more of those stablecoins were being put to work.

Data Scope And Methodology

There is an important break in the headline series this week.

The previous BitBullNews snapshot captured DefiLlama stablecoin market capitalization at $307.34 billion. The current live DefiLlama page reports $300.74 billion while simultaneously showing a positive seven-day change of $884 million. Those two observations cannot be interpreted as a clean $6.6 billion weekly market outflow.

The defensible conclusion is that the current DefiLlama series is not directly comparable with the earlier captured headline total because underlying coverage, classification, historical data or dashboard processing changed between snapshots. For the market-wide analysis below, BitBullNews therefore uses DefiLlama’s current native seven-day percentage and dollar changes rather than subtracting the two headline snapshots.

Network and individual stablecoin sections use the current DefiLlama seven-day series.

Stableflows provides a separate, internally consistent comparison with the previous BitBullNews capture. Its methodology tracks USDC, USDT, USDT0 and PYUSD deployed in selected DeFi protocols across major networks. It does not represent every stablecoin or every DeFi application.

Stablecoin Market Scorecard

USDC Led The Market Back Into Growth

USDC increased 0.51% to approximately $72.33 billion.

The estimated $367 million expansion more than offset USDT’s roughly $128 million decline. The two largest stablecoins therefore added approximately $239 million combined despite moving in opposite directions.

Growth also broadened beyond the two leaders.

USDS added an estimated $130 million. RLUSD gained roughly $121 million. United Stables U increased by about $107 million. PYUSD added around $82 million. USDG gained approximately $62 million, while USDe and GHO each expanded by roughly $50 million or more.

Major Stablecoin Weekly Movers

Estimated dollar changes are calculated from current market values and DefiLlama’s displayed seven-day percentages. Yield-bearing products can also move with NAV rather than issuance alone.

The composition of growth improved from a diversification standpoint.

Last week, supply contraction was concentrated in USDC and USDT. This week, USDC recovered while several smaller fiat-backed, crypto-backed and tokenized-cash products expanded at the same time.

That does not mean concentration disappeared. USDT and USDC still represented approximately 84.9% of DefiLlama’s current total.

It does mean marginal growth came from more than one issuer.

USDC Returned To Solana

USDC’s biggest weekly move occurred on Solana.

DefiLlama showed $7.26 billion of USDC on the network, up approximately 6% over seven days. That implies an estimated increase of roughly $410 million.

The move reversed more than half of the roughly $764 million Solana USDC contraction recorded in the previous report.

Ethereum moved in the opposite direction. Its USDC supply declined about $65 million to $46.09 billion.

Stellar added approximately $63 million of USDC, while Base, OP Mainnet, Avalanche and Sui posted smaller gains. Aptos and Polygon were the larger negative contributors outside Ethereum.

USDC Supply By Network

The Solana reversal is particularly useful because it followed a sharp decline one week earlier.

A one-week inflow followed by a one-week outflow can indicate temporary treasury positioning. A subsequent partial return suggests the network is actively redistributing stablecoin liquidity rather than experiencing a simple one-directional exit.

The next question is what kind of stablecoin is returning.

This week, the answer was overwhelmingly USDC.

Solana Swapped USDT For USDC

Solana’s total stablecoin market capitalization increased only $84 million.

Underneath that modest headline, roughly $410 million of USDC entered while nearly $398 million of USDT left.

Those flows almost cancelled each other.

BUIDL added another estimated $37 million. USDGO gained roughly $27 million and USD1 about $19 million.

The result was a meaningful composition shift toward USDC and institutional tokenized cash even though Solana’s total stablecoin base barely changed.

Solana Stablecoin Composition

This is why chain-level stablecoin numbers need product-level decomposition.

An analyst looking only at Solana’s 0.54% increase would see a quiet week.

The underlying market experienced roughly $800 million of opposing movement between its two largest payment stablecoins.

That can materially change DEX pairs, collateral composition, market-maker inventories and cross-chain routing even when total supply remains stable.

RLUSD Reversed Its Previous Contraction

RLUSD increased 8.25% to approximately $1.58 billion.

Both native networks contributed.

XRP Ledger RLUSD rose 11.6% to about $853 million, adding roughly $89 million. Ethereum RLUSD increased 3.79% to approximately $731 million, adding around $27 million.

XRPL’s total stablecoin supply reached approximately $960 million, up about $90 million over seven days. RLUSD represented nearly 89% of that total.

That is a very different structure from the previous week, when RLUSD contraction dominated XRPL outflows.

The rebound does not identify the holders or institutions responsible. Public supply data cannot distinguish minting for market-making, payments, treasury use or exchange liquidity.

It does show that the previous contraction was not followed by another week of redemptions.

PYUSD Growth Returned To Ethereum And Arbitrum

PYUSD increased about 3.05% to $2.77 billion.

Ethereum held roughly $1.82 billion and grew 3.92%. Arbitrum increased 7.9% to about $187 million. Solana remained broadly flat near $684 million.

The pattern contrasts with USDC.

USDC’s largest expansion came from Solana. PYUSD’s weekly growth remained concentrated in Ethereum and Arbitrum.

That distinction matters for payment and DeFi integrations because the same stablecoin market-cap growth can create very different liquidity conditions depending on where new supply lands.

USDG Expanded While X Layer Stayed USDG-Dominated

USDG increased to approximately $3.42 billion, up 1.83% over seven days.

X Layer remained the largest concentration with roughly $1.97 billion. Robinhood Chain held about $358 million, Solana around $652 million and Ethereum about $402 million.

X Layer itself reached approximately $2.09 billion of stablecoins and grew close to 3% over seven days. USDG still represented about 94% of the network’s stablecoin supply.

That concentration is notable because Circle launched native USDC and Cross-Chain Transfer Protocol support on X Layer on August 6.

Circle said the network now supports native USDC for payments, trading and DeFi, while CCTP allows native USDC to move between X Layer and other supported blockchains. The ecosystem also continues to support a separate bridged version of USDC from Ethereum, which Circle does not issue.

At the reporting cutoff, DefiLlama listed only about $8.8 million of USDC on X Layer.

Infrastructure arrived before liquidity did.

USDG remained the network’s dominant dollar asset.

Network Growth Was Broad — Except Plasma

Ethereum generated the largest absolute network gain, adding an estimated $309 million.

Tron followed with about $147 million. Sui gained nearly $118 million despite its much smaller base. XRP Ledger added around $107 million. Solana and Avalanche each added more than $80 million.

Plasma was the major exception.

Its stablecoin supply fell 18.27% to roughly $773 million, an estimated decline of about $173 million. Polygon, Arbitrum and Hyperliquid also contracted.

Stablecoin Supply By Network

Dollar changes are estimates derived from current values and displayed seven-day changes. X Layer and XRPL rows use their dedicated DefiLlama network pages, whose snapshots can differ slightly from the aggregate chain table.

The breadth is more constructive than a week dominated by a single chain.

Ethereum remained the market’s capital center, but marginal growth appeared across L1s, L2s and specialized networks.

Sui’s percentage increase stands out because of its small base. A 35.7% gain created about $118 million of additional supply — meaningful, but still far below Ethereum or Solana in absolute liquidity.

Absolute and percentage changes need to be read together.

DeFi Stablecoin TVL Crossed $10 Billion

Stableflows recorded $10.21 billion of tracked stablecoins inside DeFi on August 10.

That was $450 million above the previous BitBullNews snapshot and a 4.6% increase.

Tracked stablecoin supply rose only 0.15%, from $253.32 billion to $253.71 billion.

DeFi deployment therefore grew roughly 30 times faster than the tracked supply base on a percentage basis.

DeFi Stablecoin Deployment

Stableflows tracks USDC, USDT, USDT0 and PYUSD in selected protocols.

The market crossed a useful threshold.

Tracked DeFi stablecoin TVL is back above $10 billion after falling to $9.11 billion two weeks ago.

The recovery has now happened in two stages:

• July 27–August 3: approximately +$650 million.
• August 3–10: another +$450 million.

That means tracked deployment recovered about $1.10 billion in two weeks.

The composition of that recovery improved this week because Solana joined Ethereum as a major contributor.

Solana Became The Strongest DeFi Deployment Signal

Solana’s Stableflows balance increased from $943.47 million to $1.24 billion.

That was a gain of approximately $297 million, or 31.4%.

At the same time, its tracked stablecoin supply fell from $10.91 billion to $10.80 billion. Utilization jumped from 8.6% to 11.4%.

Last week, Solana utilization increased because its supply denominator fell faster than its DeFi balance.

This week was different.

The numerator surged.

More stablecoins actually moved into the tracked DeFi protocols.

Ethereum remained the largest source of deployed capital, adding another $180 million to reach $7.38 billion. Its utilization increased from 5.9% to 6.0%.

DeFi Utilization By Network

Current values come from Stableflows’ August 10 dashboard. Previous values are from the prior BitBullNews capture of the same methodology.

Solana’s utilization is now above Ethereum’s despite a much smaller absolute stablecoin base.

That does not make Solana “more liquid” than Ethereum.

It means a larger proportion of Stableflows’ tracked Solana stablecoins sit inside the selected DeFi protocols.

Ethereum still held almost six times more stablecoin DeFi TVL.

Stellar Produced The Largest Percentage Deployment Jump

Stellar’s tracked stablecoin TVL rose from $12.94 million to $47.56 million.

That was a 267.5% increase.

Utilization jumped from 4.0% to 12.2%, while tracked supply increased from roughly $322 million to $389 million.

DefiLlama’s broader Stellar stablecoin dashboard also showed total network supply near $968 million, up about 6.8% over seven days.

USDC was the main growth component, increasing roughly 19% to $381 million, while USDY remained the largest stablecoin-like asset on the network at approximately $533 million.

The gap between Stableflows’ tracked supply and DefiLlama’s total is expected because Stableflows tracks only four stablecoins.

Plasma Moved The Other Way

Plasma lost approximately $68 million of tracked DeFi stablecoin TVL, falling to $98.64 million.

Utilization declined from 19.9% to 14.1%.

Its broader stablecoin supply also fell sharply. DefiLlama showed approximately $773 million on the network, down more than 18% over seven days.

This is a cleaner negative signal than a falling supply balance alone.

Both outstanding liquidity and deployed liquidity declined.

The next report should determine whether the contraction stabilizes or becomes a multiweek trend.

Circle Expanded USDC Infrastructure Before Supply Followed

Circle added native USDC and CCTP to X Layer on August 6.

The launch gives qualified institutions direct Circle Mint access and enables native cross-chain USDC transfers. Circle also distinguished native USDC from the existing Ethereum-bridged version, which is not issued by Circle.

At the current cutoff, X Layer remained overwhelmingly a USDG market.

DefiLlama reported:

• Total stablecoin supply: about $2.09 billion.
• USDG: approximately $1.97 billion.
• USDG dominance: 94.1%.
• USDT: about $114 million.
• USDC: roughly $8.8 million.

That is an important distinction between technical availability and actual liquidity.

Adding native issuance and cross-chain infrastructure creates capacity.

Users, market makers and protocols still need to move capital into it.

Circle Is Building A Larger Settlement Rail Around USDC

One day earlier, Circle announced the founding validator cohort for Arc, its planned institutional blockchain.

The group includes BlackRock, DTCC, Galaxy, Global Payments, ICE, Mastercard, MoneyGram, SBI Group, Standard Chartered, Sumitomo Corporation and Visa. Circle said Arc remained in private mainnet with more than 100 ecosystem and institutional builders and was targeting a September 16 public mainnet launch.

BlackRock is expected to deploy BUIDL on Arc using native USDC integration. Circle also described a planned DTCC connection for tokenized DTC-custodied assets beginning in the second half of 2027.

These are planned integrations, not current stablecoin flow.

They matter because stablecoin demand increasingly depends on where institutions can actually use the assets.

Payment issuance without settlement venues creates idle supply.

Settlement infrastructure can create demand for balances held specifically for trading, collateral, subscriptions and redemption.

Peg Stability Remained Quiet

The major payment stablecoins continued trading close to $1 at the reporting cutoff.

DefiLlama showed only small deviations for USDT, USDC, USD1, USDe, USDG, PYUSD and RLUSD. There was no broad peg event visible across the leading dollar stablecoins.

That makes this week’s supply movements easier to interpret.

The changes were primarily about issuance, redemption and network allocation rather than an observable market-wide confidence shock.

Yield-bearing products still require separate treatment.

USYC and USDY trade above $1 because their structures accrue yield through their asset value. Their price should not be evaluated like a fixed-price payment stablecoin.

What Treasury Managers Should Watch Next

Whether Solana USDC Keeps Rebuilding

Solana USDC added approximately $410 million after losing roughly $764 million during the prior monitoring period.

Another positive week would make the current rebound more durable. Another reversal would confirm that Solana remains a high-velocity treasury-allocation venue.

Whether Solana USDT Stabilizes

USDT lost almost $400 million on Solana while expanding on several other chains.

If USDT continues shrinking while USDC grows, Solana’s stablecoin mix will become materially more dependent on Circle.

That changes counterparty and liquidity concentration even if total network supply remains unchanged.

Whether Solana DeFi TVL Holds Above $1.2 Billion

Stablecoin deployment increased 31% in one week.

The next test is retention.

Capital that remains after incentive changes and market volatility is more meaningful than a short-term deposit surge.

Whether RLUSD Sustains Its Rebound

RLUSD added more than $120 million after contracting sharply in the previous report.

Growth across both XRPL and Ethereum is healthier than expansion concentrated on only one chain.

Whether Stellar’s DeFi Jump Persists

Stellar utilization increased from 4.0% to 12.2%.

The move is large enough to require confirmation. A second week of elevated deployment would suggest a genuine change in usage rather than a single protocol allocation.

Whether Plasma Stops Losing Both Supply And Deployment

Plasma experienced one of the clearest negative combinations in the current data.

Total stablecoin supply and Stableflows DeFi TVL both contracted sharply.

A stabilization in supply without a DeFi recovery would still leave the network in a weaker utilization position.

Whether X Layer Converts USDC Infrastructure Into Liquidity

Native USDC and CCTP are live, but USDG still controls more than 94% of X Layer’s stablecoin market.

The relevant metric now is not technical integration. It is whether native USDC supply, trading pairs and DeFi deposits actually increase.

Whether Market Data Reconciles

The DefiLlama headline series shifted materially between BitBullNews captures.

Analysts should prioritize internally consistent seven-day series until the historical headline comparison stabilizes.

Data quality is part of stablecoin risk monitoring.

Stablecoin Risk Dashboard

The Quiet Rotation: Why Stablecoin Composition Matters More Than Headline Supply

Stablecoin supply returned to growth this week.

DefiLlama’s current series showed a seven-day increase of $884 million to approximately $300.74 billion. USDC added roughly $367 million while USDT lost about $128 million.

The bigger story was the internal rotation.

Solana USDC increased by approximately $410 million. Solana USDT fell by almost $398 million. The network’s total stablecoin supply still moved only $84 million.

A quiet headline hid a major change in composition.

RLUSD also reversed last week’s weakness. Supply increased about 8.25% to $1.58 billion, with both XRP Ledger and Ethereum contributing.

PYUSD, USDG, USDS, USDe, GHO and several smaller products expanded as well. Stablecoin growth was therefore broader than a single USDC recovery.

The DeFi signal was stronger.

Stableflows’ tracked stablecoin supply increased just $390 million. Stablecoins deployed in DeFi increased $450 million to $10.21 billion.

Solana drove much of that improvement.

Its tracked stablecoin TVL increased by nearly $297 million while its tracked supply fell slightly. Utilization jumped from 8.6% to 11.4%.

That is the cleanest constructive change in this week’s data.

Ethereum remained the capital center and added another $180 million of stablecoin DeFi TVL. Stellar produced the largest percentage increase from a small base. Plasma moved in the opposite direction, losing both supply and deployed liquidity.

Infrastructure continued expanding as well.

Circle launched native USDC and CCTP on X Layer, but USDG still controls more than 94% of that network’s stablecoin balance. Circle also named major financial institutions as validators and integration partners for Arc ahead of its planned September launch.

Those announcements should not be counted as flow.

They show where future stablecoin demand may come from: settlement, tokenized funds, cross-chain payments and institutional collateral.

The current market is healthier than last week’s contraction suggested.

Supply is growing again. DeFi deployment is rising faster. Solana is rebuilding USDC liquidity. RLUSD has recovered.

The main risk is concentration.

The market remains dominated by USDT and USDC, while individual networks can experience hundreds of millions of dollars of product rotation without much change in their headline supply.

That is why stablecoin analysis has to go one level deeper.

The next report should focus on whether Solana retains its new USDC and DeFi balances, whether Plasma stabilizes, and whether infrastructure launches such as native USDC on X Layer begin producing measurable liquidity rather than technical availability alone.

Data Sources & References

• DefiLlama — Stablecoin Market Dashboard
• DefiLlama — Stablecoins By Chain
• DefiLlama — USDC
• DefiLlama — USDT
• DefiLlama — PYUSD
• DefiLlama — RLUSD
• DefiLlama — USDG
• DefiLlama — United Stables U
• DefiLlama — Solana Stablecoins
• DefiLlama — Stellar Stablecoins
• DefiLlama — XRP Ledger Stablecoins
• DefiLlama — X Layer Stablecoins
• Stableflows — DeFi Stablecoin Utilization
• Circle — Native USDC And CCTP On X Layer
• Circle — Arc Validator Cohort And Integrations