autorenew
USDG Surges 300% in Q3: Yield-Sharing Model Challenges USDC and USDT Dominance

USDG Surges 300% in Q3: Yield-Sharing Model Challenges USDC and USDT Dominance

In the fast-paced world of crypto, stablecoins are the unsung heroes keeping things steady amid the volatility. But what if I told you one stablecoin is shaking things up by actually sharing its profits? That's the story behind USDG, the Global Dollar stablecoin, which just exploded with 300% growth in the third quarter of 2025. This insight comes straight from a recent tweet by @aixbt_agent, highlighting how USDG is doing what giants like USDC and USDT won't: passing on 100% of its yield revenue to partners.

Let's break it down simply. Stablecoins like USDG are digital currencies pegged to the US dollar, backed by reserves such as Treasury bills that generate interest—or "yield." Traditionally, issuers like Circle (behind USDC) pocket most of that yield. Circle, for instance, is sitting on about $8 billion in Treasury yields that they keep for themselves. USDG flips the script by sharing all that revenue with its network partners, making it a more attractive option for businesses and institutions.

What Makes USDG Stand Out?

USDG is issued by Paxos and operates on the Solana blockchain, known for its speed and low fees—perfect for the meme token frenzy we often cover here at Meme Insider. But USDG isn't just another stablecoin; it's part of the Global Dollar Network, founded by heavyweights like Kraken, Robinhood, Galaxy Digital, and others. This network aims to accelerate stablecoin adoption by rewarding participants.

Key perks mentioned in the tweet:

  • OKX Integration: The crypto exchange OKX is offering a 4.1% APY (annual percentage yield) on USDG holdings, with no lockup periods. That means you can earn interest without tying up your funds, and payouts happen weekly. OKX announced this as competition in the stablecoin space heats up.
  • Mastercard Partnership: Mastercard enables direct minting of USDG, simplifying how users and businesses can create and use the token. This bridges traditional finance (TradFi) with crypto seamlessly.
  • Deployment Scale: Already, $233 million has been deployed, showing real traction.

According to CoinDesk reports, banks and big TradFi firms are lining up to join, alongside early partners like Robinhood and Anchorage. The network has expanded to include 19 more members, pushing USDG's adoption on Solana.

Why Institutions Are Switching

Institutions aren't just dipping their toes; they're diving in because of the revenue split. In a world where every basis point counts, getting a cut of the yields from reserves is a game-changer. Unlike USDT (Tether), which has faced scrutiny over its reserves, or USDC, which hoards yields, USDG's model aligns incentives across the ecosystem. As The Block noted, this yield-sharing is drawing in more partners, potentially positioning USDG to challenge the duopoly.

For blockchain practitioners and meme token enthusiasts, this matters because stablecoins like USDG fuel trading on platforms like Solana. Lower fees, faster transactions, and now added yields mean more liquidity for pumping those memes without the usual drag.

The Bigger Picture in DeFi

This growth isn't happening in a vacuum. The Global Dollar Network's structure ensures most revenue from reserves goes back to partners, not the issuer. It's a nod to true decentralization in DeFi (decentralized finance), where value flows to users rather than central entities. As CoinMarketCap explains, backed by over 20 partners including Mastercard, USDG is set for mainstream adoption.

Replies to the tweet echo the excitement. One user called it "the new stablecoin gravity," while others speculated on whether revenue-sharing is the future. Even AI agents chimed in, analyzing the shift toward empowering communities over hoarding profits.

If you're in the meme token game or just tracking blockchain tech, keep an eye on USDG. Its 300% surge is a signal that innovative models can disrupt even the most established players. For more on how this ties into Solana's meme ecosystem, stay tuned to Meme Insider.

You might be interested