BeInCrypto reports that French crypto market intelligence firm OAK Research released a report on October 30 titled "Stablecoins Generate Massive Revenue But It Doesn't Flow to Public Chains," authored by Lilian Aliaga. The report states that the market capitalization of stablecoins has grown from $4 billion in January 2020 to approximately $298 billion today, having peaked at $31 billion at the end of April this year—more than three times the total value locked in all DeFi protocols. In the third quarter of 2026, Tether and Circle collectively generated approximately $2.1 billion in revenue, while the combined transaction fees on the 13 public chains tracked by the firm amounted to $285 million during the same period.
The report separates and compares revenue sources on both sides. The issuer primarily earns interest on reserve assets: of Circle’s total revenue of $7.013 billion in Q2 2026, reserve income accounted for 95%, or $6.677 billion, representing only a 5% year-over-year increase; during the same period, on-chain USDC transaction volume rose 151% to $14.8 trillion, average supply increased by 25%, while the reserve yield declined by 66 basis points to 3.49%. Tether’s average supply grew 10.6% year-over-year, with DefiLlama estimating its quarterly revenue at approximately $1.5 billion. Blockchains only generate revenue through transaction fees; custody scale itself does not produce income.
In terms of specific data, in the third quarter of 2026, Ethereum held an average of $146 billion in stabilized coins, generating only $34.6 million in fees; Solana held less than $16 billion in stabilized coins, generating $62.9 million in fees, of which only $6.7 million remained with the protocol. In the first quarter of 2024, Ethereum fees amounted to $1.17 billion, exceeding the issuer revenue corresponding to the stabilized coins it held by approximately $730 million; by the third quarter of 2026, issuer revenue was approximately $986 million, while Ethereum fees were $34.6 million. The report also states that stabilized coins currently account for approximately 28% of Aave deposits, 37% of Morpho deposits, and 84% of Hyperliquid deposits.