FDUSD Surges to Fifth-Largest Fiat-Pegged Cryptocurrency

Despite global trade momentum, supply distribution of FDUSD is concentrated, with Binance holding significant stakes.

FDUSD Surges to Fifth-Largest Fiat-Pegged Cryptocurrency
FDUSD Surges to Fifth-Largest Fiat-Pegged Cryptocurrency

Throughout the previous fortnight, the stablecoin asset, first digital USD (FDUSD), has surged to become the fifth-largest fiat-pegged cryptocurrency on the market.

A considerable proportion of the on-chain movements and market activity of FDUSD is centered around the centralized cryptocurrency exchange Binance.

FDUSD, valued at $1.61 billion, occupies the 46th position in market capitalization out of more than 11,500 digital currencies.

According to the etherscan contract for FDUSD, the supply of FDUSD increased by 74.92% from 921 million first digital USD on December 2 to 1.611 billion as of December 17.

FDUSD has experienced a significant increase in global trade volume of $2.2 billion over the past twenty-four hours, propelled primarily by USDT and BTC pairs on Binance. Indeed, during this period, an enormous 90.45% of the trading volume for FDUSD on Binance originated from these two pairings.

FDUSD pairs are also available on additional exchanges, including Gate.io, Bingx, Cryptology, and Tokocrypto, albeit to a lesser extent. Unlike other prominent stablecoins, FDUSD’s supply distribution is notably concentrated, with only 255 wallets holding the first digital USD.

Notwithstanding its substantial trade volume and many transactions, FDUSD primarily operates off-chain, as evidenced by its modest tally of 1,771 transactions.

Binance controls the top three wallets that hold FDUSD, with the largest wallet containing 1.533 billion FDUSD, or 95.1450% of the total supply.

Moreover, 4.3751% of the first digital USD supply is held in the second wallet utilized by Binance, demonstrating Binance’s substantial control over FDUSD.

Binance, the preeminent cryptocurrency exchange in terms of trade volume, additionally holds a significant proportion of TUSD, precisely 2.17 billion coins out of the total 2.43 billion in circulation.

This control extends to 21.54 percent of the tether (USDT) supply, and Binance dominates the fourth and fifth largest stablecoins.

Under control of the two most extensive BUSD addresses, Binance retains a majority stake in the 1.2 billion BUSD stablecoins in circulation.