Nowadays, stablecoins are becoming the center of attraction, with the highest volume and top players like USDT and USDC coming from the category; most recently, Custodia Bank with Vantage Bank, has announced the launch of the so-called 1st ever-stablecoin in the United States issued by the bank.
The launched stablecoin ‘ Avit’ will lead its operations in Ethereum, a permissionless blockchain. The coin by Vantage and Custodia has been developed to leverage the widely renowned ERC-20 token.
In the announcement, Custodia quoted, “ A new U.S. dollar payment rail has now been activated inside the U.S. banking system.”
Now banks can issue tokenized deposits on a public blockchain
The Chief Executive Officer of Custodia, Caitlin Long, said, “ We broke ground on the legal/regulatory front, proving that US banks can collaborate to tokenize demand deposits on a permissionless blockchain in a regulatorily-compliant manner.”
In an X post dated March 25, 2025, Custodia Bank said, “ The banks collaborated on the mint, transfer & redemption of Avit tokens for a bank customer on the Ethereum mainnet using the ERC-20 standard.”
Experts argue that with this launch, a boost in the adoption of stablecoins is likely to grow in the region where the trading of Avit stablecoin is permissible.
Stablecoin market futures outlook
Until publishing, the collective stablecoins’ market capitalization was $235 million, which is up by 10% in the past month; in terms of market cap, USDT tops the list with USDC, Ethena USDe, DAI, First Digital USD, PayPal, TrueUSD and Usual USD.
With the growing adoption and usage of crypto, the usage of stablecoins has also registered considerable growth as these products are majorly used for swapping and trading mainstream crypto like altcoins, including Bitcoin and Ethereum.
It has been reported several times in 2024 that Tether and Circle, including a few other stablecoin issuers, have continued to mint stablecoins to fulfill the demand for these products.
Several stablecoins in the market have unlimited supply, but a few others have limited supply.
Crypto market price updates
As of writing, the crypto market cap was $2.87 trillion with a surge of 5.67%; despite this growth, it is down by 20% in a quarter and 8% in a week. The fear and greed index is at 34, mirroring a fade in the bear sentiment in the market.
Over the weeks, Bitcoin has been tumbling below the mark of $90k, and when writing, it was exchanging hands at $87,239; its trading volume of BTC is $28.88 million, down by 11%, and the market cap was $1.74 trillion.
According to data from CoinMarketCap, the intraday gainer’s list has been ruled by Movement, Fartcoin, Curve DAO token, Shiba Inu, Pepecoin, and Dogecoin. On the other hand, the losers are PI, Four, Pancakeswap, Corons, Toncoin and BNB, Hyperliquid, Story, and IP.
