XRP Overtakes USDT as Market Cap Leader: Regulatory Wins Fuel Rally

In a significant market shift, XRP has surpassed Tether (USDT) to become the third-largest cryptocurrency by market capitalization as of July 2025. This development signals growing institutional confidence in XRP's fundamentals, driven by favorable regulatory developments and expanding real-world utility. The cryptocurrency's rise comes amid positive momentum in Ripple's ongoing SEC lawsuit, with recent court rulings reducing legal uncertainty and attracting new institutional investment. Analysts suggest this milestone reflects broader market recognition of XRP's payment network advantages and could mark the beginning of sustained upward momentum for the asset.

XRP Replaces USDT as Third-Largest Cryptocurrency by Market Cap

XRP has surged past Tether (USDT) to claim the third-largest cryptocurrency by market capitalization, signaling a potential shift in investor sentiment. The move reflects growing confidence in XRP's fundamentals amid regulatory progress and expanding use cases.

Legal clarity around Ripple's ongoing SEC lawsuit has been a key driver. Recent court rulings favoring Ripple have reduced uncertainty, prompting institutional players to reconsider XRP. Regulatory tailwinds often precede sustained price appreciation.

On-chain data reveals increased whale accumulation and network activity. Technical indicators suggest momentum could propel XRP toward double-digit valuation. Ripple's partnership pipeline continues to strengthen real-world utility for cross-border payments.

Tether to Sunset USDT Support on Five Blockchains, Shifts Focus to Layer 2 Networks

Tether, the issuer of the world's largest stablecoin, will discontinue USDT support on five underutilized blockchains—Omni Layer, Bitcoin Cash’s Simple Ledger Protocol, Kusama, EOS, and Algorand—by September 1, 2025. The move reflects dwindling usage on these networks, which collectively represent a negligible fraction of USDT’s $156 billion market capitalization.

"Sunsetting these legacy chains allows us to prioritize platforms with superior scalability, developer activity, and community engagement," said CEO Paolo Ardoino. The firm will reallocate resources to LAYER 2 solutions like the Lightning Network and emerging blockchains offering faster settlement and enhanced developer tools.

Token holders on affected chains must migrate assets via bridges or exchanges before the cutoff. Tron and ethereum continue to dominate USDT circulation, underscoring the market’s preference for high-liquidity ecosystems.

Cryptocurrency Market Surge Driven by Growing Stablecoin Supply

The cryptocurrency market is witnessing a significant surge, fueled by an expanding stablecoin supply and record-breaking price movements. Bitcoin's ascent to new all-time highs has set the tone, with other digital assets following suit. This bullish momentum appears underpinned by substantial capital inflows, as evidenced by the rapid growth of major stablecoins.

Tether's USDT and Circle's USDC have emerged as market leaders, with their combined supply increasing by $2.7 billion since July. USDT now commands a $160 billion market capitalization, while USDC has grown to $62.8 billion. These stablecoins, pegged to the US dollar, serve as critical liquidity providers and transaction facilitators across exchanges.

The resurgence in stablecoin demand—10.5% for USDT and 4.6% for USDC since April's downturn—signals renewed investor confidence. Their expanding role in payments and cross-asset trading continues to reshape market dynamics, creating a virtuous cycle of liquidity and price discovery.