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Yield-Bearing Stablecoin Supply Falls 15% in Q2, Ending Three-Year Crypto-Native Growth Run

7/5/2026

The supply of yield-bearing stablecoins fell 15% in the second quarter, ending a three-year unbroken expansion for crypto-native products.

sUSDe and sUSDS both contracted over the period, while Treasury-backed alternatives — BUIDL, USYC, and USDY — continued to grow, widening the divide between the two segments of the on-chain dollar market.

Three Years of Growth, Reversed in One Quarter Crypto-native yield-bearing stablecoins had expanded consistently for three years before Q2. The 15% supply decline is the first meaningful reversal in that run.

sUSDe and sUSDS, the two named contracting products, sit on the crypto-native side of the ledger — their yields tied to on-chain mechanisms rather than to traditional fixed-income collateral.