Key Highlights
- USDG adoption grows fast, hitting a $1 billion market cap, but top 100 wallets control almost all tokens, raising centralization concerns.
- Global Dollar Network expands with 100+ partners, rewarding minting and holding, boosting USDG use across exchanges, DeFi, and fintech.
- Stablecoins rebound in 2025, led by Asia, while regulations shift to treat crypto as a permanent financial tool, not speculation.
Global Dollar (USDG), a USD-backed stablecoin by Paxos, is gaining traction in the crypto market. Within 14 months of its launch in November 2024, USDG has quickly risen above $1.54 billion in market cap. However, on-chain data suggest that the stablecoin’s journey till date lacks real traction.
According to data from Etherscan, the level of centralization in USDG is dramatic. The top 100 accounts hold the vast majority of the total, i.e., 99.97% of the USDG tokens in total, approximately 352.4 million tokens out of 352.5 million. The top 10 wallets control nearly 80% of USDG supply, of these, accounts associated with the name “Hot Wallet 3” from Kraken and various accounts associated with the name.
Smaller wallets, fee receiver wallets, and individual holders hold very small percentages. However, a total of 2,218 wallets hold USDG, and very few entities actually control this market. Concentration still remains a very crucial element for market researchers to focus on.
As of today, USDG has a 24-hour trading volume of $14.78 million and it is currently seventh largest stablecoin by market cap, according to CoinMarketCap.
USDG’s rise and market traction
The rise of the USDG is linked to Global Dollar Network, also known as the GDN. In recent months, the GDN has grown rapidly, onboarding a wide range of partners in areas such as exchanges, payment services, DeFi apps, and infrastructure firms.
The list of significant additions to the network includes Archax, Gemini, KuCoin, Marinade, Wirex, and Paxos itself. These network participants receive a reward in exchange for minting, holding, or accumulating the USDG.
Where USDG stands
The growth of stablecoins has been phenomenal since 2020, peaking in 2021 and then taking a plunge in 2022. Most of this traction came from developments in the regulations across the world.
As of January 2026, the total stablecoin market cap sits at $307.95 billion and Tether’s USDT remains on top, occupying 60.72% of this market. Tether is followed by other leaders like Circle’s USDC, Sky Dollar (USDS), Ethena’s USDe and others.
USDG remains within the top 10 list, having its majority of supply on Solana (71.85%). Ethereum holds 24.45% of the USDG, followed by Ink with 2.7% supply, as per market data. But, as mentioned above, only a handful of retail accounts hold USDG, raising concerns over its actual market presence despite having one and half billion market cap.
One can ask, does USDG have a place in an industry that is home to USDT, USDC, and other prominent stablecoins? Although collaborations are fueling the increase in USDG’s adoption, will they benefit from market behavior? Only the future will tell the story.
Also Read: Ethereum Sees 110% Surge in New Holders After Fusaka Upgrade
