Catenaa, Monday, June 23, 2025-Plasma, a stablecoin-focused Bitcoin sidechain, has doubled its stablecoin deposit cap to $1 billion after the initial $500 million limit filled within an hour.
The firm raised the cap to allow more community members a chance to participate in its token sale.
Users who deposit stablecoins into Plasma’s vault earn the right to buy its native token, XPL. Although deposits have reached $1 billion, Plasma emphasized this does not equate to a $1 billion raise.
The public sale of XPL tokens is still pending, with $50 million worth set to be sold at a fully diluted valuation of $500 million.
Plasma said funds deposited remain owned by users and will be bridged to its mainnet beta. The deposit expansion followed complaints that bots and snipers limited real participant access.
The company announced the increased cap on short notice to reduce bot setups and expand participation.
Plasma’s vault currently holds $558 million in USDC, $396 million in USDT, plus smaller amounts in USDS and Dai. The project is an EVM-compatible Bitcoin sidechain designed to eliminate transaction fees for Tether’s USDT. It has raised $3.5 million led by Bitfinex and a $20 million Series A.
The stablecoin sector has seen major activity recently, including regulatory advances and new projects from major banks and tech firms.
