The combined supply of the top three stablecoins - USDT, USDC, and DAI - has reached a new high of $141.42 billion, indicating continued capital inflows into the crypto market. Despite Bitcoin's recent decline in momentum, the rising supply of stablecoins provides reassurance to Bitcoin bulls as it suggests a potential for dip demand. Stablecoins have become the primary mechanism for purchasing cryptocurrencies and trading derivatives, with traders increasingly preferring stablecoin-margined futures. Other indicators, such as Bitcoin's MVRV Z-score, suggest that the path of least resistance for Bitcoin's market value is on the higher side.

Hong Kong legislator Wu Jiezhuang revealed that Hong Kong will release stablecoin consultation and sandbox (computer security mechanism), which will allow the industry to innovate digital asset projects in the sandbox environment. Relevant legislation will be reviewed in the Legislative Council at the end of this year or next year, which will help the entire digital asset industry ecosystem. Hong Kong has been improving the digital asset (virtual asset) market on different legal levels. Last year, there were regulations on virtual currency trading platforms and issuance systems.

Developer of Cardano ecosystem stablecoin USDM Mehen Finance announced that it will be launched to retail investors next month. Currently, the stablecoin is only available to institutional users. In addition, Mehen also plans to launch its first investment through equity crowdfunding instead of token sales. It is reported that the USDM model is similar to other fiat-backed stablecoins but has features that prevent over-minting. Its reserves are ensured through Charli3 oracle reports on the Cardano network, ensuring real-time transparent transfers. Although USDM cannot be frozen on-chain, Mehen stores its reserves in government currency market mutual funds managed by Fidelity and Western Asset Management. Mehen has obtained licenses in 17 US states and plans to apply for money transmission and virtual asset service provider licenses in Europe and the UK later this year.

Stablecoin TrueUSD has announced on social media that BEP2-TUSD holders should be aware that the BNB Beacon Chain will cease operations at the end of June, and all assets on the chain will be delisted simultaneously. To mitigate potential losses, we strongly recommend that you immediately convert your TUSD to an alternative network. Your actions are crucial to protecting your assets.

According to DefiLlama data, the total market value of stablecoins has reached 145.79 billion US dollars, with a 7-day increase of 2.46%; among them, the market value of USDT is about 102.394 billion US dollars, with a market share of 70.23%.

As mentioned in part one, some of the property advantages of crypto dollars compared to US Dollars in traditional banking systems come from using public settlement networks and personal wallet software. These same advantages apply to (and originated with) bitcoin, namely global access, individual custody, and 24/7 direct transfers.

Data shows the supply of USDT is close to 100 billion, as of the time of publication, it is about 99.7 billion. In addition, the supply of USDC has risen to 29 billion.

The Bank for International Settlements (BIS) has proposed global stablecoin regulation. In a summary of the proposal released on Thursday, the Bank for International Settlements described global stablecoins as stablecoins that are widely adopted and have potential impact and use in multiple jurisdictions. The Bank for International Settlements stated that "a global stablecoin may become systemically important within one or more jurisdictions and across multiple jurisdictions."

According to the latest data from Coingecko, the market value of the US dollar stablecoin USDT has exceeded 99 billion US dollars. At the time of writing this article, it was 99,001,536,662 US dollars, setting a new historical high.

There are many possible paths that bitcoin might take to become a more adopted form of money. This article unpacks a particularly promising pathway: the role of stablecoin ownership as a stepping stone to bitcoin.