3 Reasons USDC Stablecoin Falls Below $50 Billion Market Cap Is Tether's Gain
Tether, the main rival of the stablecoin, has on the other hand seen growth in its market capitalization.
Altcoin Watch
The market capitalization of USD Coin (USDC), a stablecoin issued by US payment technology company Circle, fell below $50 billion for the first time since January 2022.
On the weekly chart, USDC's market capitalization, which reflects the number of USD-backed tokens in circulation, fell to $49.39 billion on September 26, down nearly 12% from compared to its record of $55.88 billion, set in just three months. from.
USDC vs. USDT weekly< em>market cap chart. Source: TradingViewIn contrast, the market capitalization of Tether (USDT), which was in danger of losing its top stablecoin position to USDC in May, topped 68 billion on September 26, although it is still down 17.4% from its all-time high of $82.33 billion in May 2022.
The divergence between USDT and USDC shows investors' renewed preference for the former. Let's take a look at the factors that make Tether the best stablecoin.
Binance USDC SuspensionBinance, the world's largest cryptocurrency exchange by volume, announced earlier in September that it would convert its users' USDC balances into its own stablecoin, Binance USD (BUSD). The conversion will start on September 29 and does not apply to USDT.
The exchange said it wants to “improve liquidity and capital efficiency for users” via what appears to be a forced conversion in an increasingly competitive stablecoin industry. As a result, Binance suspended spot, future and...
Tether, the main rival of the stablecoin, has on the other hand seen growth in its market capitalization.
Altcoin Watch
The market capitalization of USD Coin (USDC), a stablecoin issued by US payment technology company Circle, fell below $50 billion for the first time since January 2022.
On the weekly chart, USDC's market capitalization, which reflects the number of USD-backed tokens in circulation, fell to $49.39 billion on September 26, down nearly 12% from compared to its record of $55.88 billion, set in just three months. from.
USDC vs. USDT weekly< em>market cap chart. Source: TradingViewIn contrast, the market capitalization of Tether (USDT), which was in danger of losing its top stablecoin position to USDC in May, topped 68 billion on September 26, although it is still down 17.4% from its all-time high of $82.33 billion in May 2022.
The divergence between USDT and USDC shows investors' renewed preference for the former. Let's take a look at the factors that make Tether the best stablecoin.
Binance USDC SuspensionBinance, the world's largest cryptocurrency exchange by volume, announced earlier in September that it would convert its users' USDC balances into its own stablecoin, Binance USD (BUSD). The conversion will start on September 29 and does not apply to USDT.
The exchange said it wants to “improve liquidity and capital efficiency for users” via what appears to be a forced conversion in an increasingly competitive stablecoin industry. As a result, Binance suspended spot, future and...
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