According to the latest data from DefiLlama, the overall circulation of stablecoins has decreased by about $38 billion since the beginning of May. There is still $148.7 billion in circulation, with the majority consisting of Tether (USDT: $68.2 billion), USD Coin (USDC: $46.7 billion), Binance USD (BUSD: $21.4 billion), Dai (DAI: $6.33 billion).
In fact, the collapse of the USTC in May accounted for nearly 50% of the $38 billion drop in stablecoin circulation.
Meanwhile, yields on borrowing and lending stablecoins on decentralized protocols (DeFi) like Aave have plummeted. Back in May, the annual percentage change (APR) on BUSD, USDC, and DAI loans was in the 3.5% range. The APR has since fallen to about 1.5%. Meanwhile, the usage ratio, or the ratio of stablecoins given as loans to total supply, has also dropped to around 30% to 40%, while the optimal level for protocols is around 80%.
