Circle’s USDC stablecoin has reached a report $60 billion market cap, surpassing its earlier excessive of $55 billion in June 2022.
USD Coin (USDC) has reached a brand new historic excessive, surpassing a $60 billion market cap and outpacing its most important competitor Tether (USDT) in development over the previous three months. Throughout this time interval, USDC has added $16.3 billion to its provide whereas USDT provide has grown by solely $4.4 billion, in accordance with Artemis Analytics. Nonetheless, USDT nonetheless dominates stablecoin market cap rankings, with its market capitalization at the moment at $144 billion.
The important thing driver of this development was the surge in stablecoin exercise on Solana (SOL), with the worth of stablecoins on the community just lately surpassing $10 billion for the primary time, largely fueled by Circle’s USDC issuance. In response to DefiLama, USDC now represents nearly 80% of Solana’s complete stablecoin marketcap of over $12 billion.
Stablecoins have been gaining traction just lately as governments world wide present better regulatory readability on their issuance and use. In 2024, stablecoin transaction volumes surpassed Visa and Mastercard’s mixed complete by practically 8%, in accordance with Stablecoin Panorama report by CEX.io. Throughout this era, stablecoin provide grew by 59%—exceeding $200 billion—pushing stablecoins’ share of the full U.S. greenback provide to 1%, up from 0.63% initially of the yr.
Furthermore, many monetary and crypto service suppliers have been launching their very own stablecoins. Notable examples embrace PayPal’s PYUSD, backed by U.S. greenback deposits and short-term Treasuries, and Ripple’s dollar-backed RLUSD.
Most just lately, World Liberty Monetary Inc. has launched USD1, a stablecoin absolutely backed by U.S. Treasuries and money deposits, initially deployed on Ethereum (ETH) and Binance Sensible Chain (BNB). Addressing considerations that the USD1 may substitute USDT and USDC, Changpeng Zhao just lately acknowledged that the extra stablecoins, “the merrier.” Stablecoin development is sweet for crypto as a result of they function the important thing supply of liquidity, and their increasing provide means rising investor demand.
