USDC stablecoin rebounds with 80% increase in circulating supply, reaching nearly $44 billion. Ethereum dominance wanes as Solana, Base, Hyperliquid, and Arbitrum gain traction. Shift attributed to retail traders, Layer 1 and Layer 2 adoption.
Circle’s USDC stablecoin has seen a substantial recovery, with its total circulating supply surging by 80% from its 2023 lows. Blockwork data shows that USDC ’s supply reached nearly $44 billion as of January 2, 2025, a significant increase from its 2023 low of less than $24 billion. While Ethereum still dominates with 65% of the supply, other blockchains like Solana (10%), Base (7%), Hyperliquid (5%), and Arbitrum (3%) are gaining traction.
This diversification contrasts with 2023, when Ethereum held 85% of the supply. The shift is attributed to retail traders seeking cheaper alternatives on Solana for speculative trading, particularly in meme coins and AI agent tokens. The rise of Layer 1 networks like Hyperliquid, focused on low-latency trading, and Ethereum Layer 2 solutions like Base and Arbitrum, also reflects evolving user preferences. Circle’s Peter Schroeder highlighted the surge in USDC adoption on Ethereum Layer 2 solutions in 2024, with supply jumping from $1.9 billion to $8.1 billion. Base witnessed a 26x increase, followed by a 4x rise on Arbitrum. Solana’s transaction volume initially led in 2024 but declined due to reduced MEV bot usage by market makers. Base, on the other hand, experienced steady growth, surpassing Solana in transaction volume during the last four months of the year. By the end of 2024, USDC had processed over 100 million unique transactions. The total USDC transaction volume exceeded $15 trillion during the year. Although USDC is currently trailing behind Tether (USDT) in market capitalization, its resurgence signifies a positive trend in the stablecoin market
USDC Stablecoin Supply Surge Ethereum Solana Base Hyperliquid Arbitrum Blockchain Diversification Cryptocurrency Market
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
USDC Issuer Circle Claims Bragging Rights to Have First Regulated Stablecoin in CanadaPressure mounts on crypto exchanges operating in the country to comply with tighter rules to list stablecoins by the end of this year.
Read more »
USDC Stablecoin Issuer Circle Announces Layoffs Amid Operational ReviewCrypto Blog
Read more »
Binance Partners With Circle to Push USDC Stablecoin Adoption Across the GlobeThe partnership will bring more USDC trading pairs, special promotions on USDC across trading and other products, Binance CEO Richard Teng said.
Read more »
Stablecoin Trading Startup Perena Tries Its Luck on SolanaPerena wants to be the 'neutral layer' bringing liquidity to stablecoin issuers.
Read more »
USDC Issuer Circle Makes Layoffs as Part of Operations Review: BloombergThe job cuts amount to 'less than 6% of Circle's workforce,' according to a company spokesperson.
Read more »
Circle and Binance Partner to Drive Global USDC Adoption and Battle USDTCrypto Blog
Read more »