The stablecoin market, like the rest of the cryptocurrency ecosystem, continues to see new updates every day. Things changed quickly, especially after TerraUSD [UST] only came into view to crash and burn. Now, while some struggled to move beyond the de-pegging event, others may have found a solid foundation to stand on

Tether (USDT) has been the dominant force in stablecoins for a few years now. However, Tether’s closest rival, Circle’s USD Coin (USDC), could make headlines today.

Circle of ‘stable’ life

About five months ago, USDC passed the USDC 50 billion mark in circulation. Despite the performance, USDT maintained a significant difference from the rest of its competitors. Usually on the front end of market cap and number of daily trades on Ethereum [ETH] blockchain. Now this gap may have taken a major blow.

Circle’s USD Coin (USDC) stablecoin has FINALLY passed Tether’s USDT due to the number of daily transactions on the Ethereum blockchain. Alex Svanevik, CEO of on-chain data hub Nansen, shared this milestone also on Twitter.

Source: Nansen

Circle’s dollar-pegged stablecoin has yet to flip USDT by market cap. The two cryptocurrencies are currently valued at $67.8 billion and $55.5 billion respectively. But, given the headwinds, Tether could lose its footing or even the battle. On the other hand, in the midst of this chaos, USDC found investor interest in the market.

Terra’s USD de-pegging and eventual collapse sent shockwaves to the crypto market. Major stablecoins like Tether [USDT] and USD currency [USDC], and DAI saw big changes. In fact, USDT still hasn’t hit the $1 pin as it has been circling around the $0.99 mark at the time of writing.

To make matters worse, Tether’s Chief Technical Officer Paolo Ardoino confirmed the occurrence of a DDoS attack. Here Tether received 8M reqs/5 mins as opposed to the usual 2k reqs/5 mins.

On the contrary, USDC maintained its $1 peg on CoinMarketCap at the time of going to press. In fact, USDC is the most widely used stablecoin of all when it comes to transferring volume, with a share of 51.5% on this front.

Tether and DAI only have shares of 25% and 11.4% respectively.

Source: Dune Analytics

This marks an unprecedented rise for USDC, despite the chaos in the market.

Game, set, match?

Well not really. Tether (USDT) is not giving up yet. USDT remains the top player in the stablecoin market. That said, regulatory scars are a cause for concern.

Tether was on the receiving end of serious backlash due to his “support.” It has faced several lawsuits in recent years. As a result, the company’s efforts to provide transparency have failed to derail the bad press surrounding it.

On the other hand, Circle, the regulated crypto-focused financial services company behind the dollar-pegged stablecoin, has not faced such regulatory hurdles. Only time will tell how this match will go.

This post USDC v. USDT – Is This Stablecoin Nearing Its ‘Circle’ Of Life?

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