USDC Surpasses Tether in Monthly Stablecoin Transaction Volume

Stablecoin activity reached a record high in February, with monthly transaction volume hitting $1.8 trillion. Circle’s USDC accounted for 70% of the total, surpassing Tether’s USDt despite its smaller market capitalization.

USDC Transfer Volume Trends

USDC’s monthly transaction volume reached $1.26 trillion, more than double USDt’s $514 billion. Analysts note that USDC has consistently overtaken Tether in transfer volume over recent months. Its market cap stands at $77.4 billion, compared to USDt’s $184 billion, yet its usage growth signals rising adoption and liquidity in the cryptocurrency ecosystem.

Rising Stablecoin Supply Boosts Market Buying Power

USDC’s supply has expanded rapidly, with over $3 billion issued in March alone, while USDt’s supply remains steady. This growth, combined with a rise in stablecoin reserves on exchanges to $66.5 billion, enhances buying power for cryptocurrencies and supports market recovery. The Stablecoin Supply Ratio (SSR), a key metric comparing Bitcoin’s market cap to stablecoin holdings, has steadily improved, reflecting increased liquidity.

The influx of stablecoins onto exchanges, including nearly $5.14 billion transferred on March 5, underscores renewed investor confidence. Analysts suggest that returning capital on exchanges historically triggers momentum for Bitcoin and the broader crypto market.

Disclaimer

This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.