Circle USDC stablecoin market cap has hit a new all-time high, surpassing $60 billion for the first time.
Artemis Analytics data shows USDC now has a 25.4% share of the stablecoin market, compared with 20.7% three months ago.
But the digital dollar, which is issued by Circle, remains streets behind Tether. The total value of USDT currently stands at $144 billion—representing about 63% of this still-nascent sector.
All of this comes against a backdrop of growing demand for stablecoins, not to mention significant regulatory shifts.
New USDC worth about $16.5 billion was minted over the past three months, compared with the $4.7 billion of USDT that entered circulation.
The arrival of Europe’s MiCA regulations, which fully came into force on Dec. 31 last year, are a big factor here.
USDC had become the first stablecoin to achieve full compliance with these new standards, with Circle selecting France as its European headquarters.
On the other hand, Tether has been delisted by a flurry of exchanges across the EU because it doesn’t have an e-money license on the continent.
Coinbase Europe was among the first to remove USDT from its platform back in December, with Binance following suit earlier this month.
A report recently shared with Decrypt by Circle revealed that USDC circulation also grew by 78% over the course of 2024.
Tether’s standing in the stablecoin market could be weakened further as the GENIUS Act winds its way through Congress in the U.S. The bill offers clear provisions addressing everything from reserve requirements to audits—both areas where Tether has faced criticism in the past.
But just this past week, Tether is in talks with a Big Four accounting firm—PwC, EY, Deloitte or KPMG—to get independently audited, according to a report on Friday by Reuters.
Regulators and lawmakers alike have previously raised questions about whether USDT is backed by U.S. dollars, with JPMorgan claiming Tether may need to offload the Bitcoin it holds in reserve to achieve compliance.
That led to a swift rebuke from a Tether spokesperson, who told Decrypt last month that adapting to any new requirements would be “straightforward.”
Edited by Stacy Elliott.
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