USD Coin (USDC), a stablecoin venture based by Coinbase and Circle, has hit a serious milestone in market capitalization.On July 3, 2020, USDC mark
USD Coin (USDC), a stablecoin venture based by Coinbase and Circle, has hit a serious milestone in market capitalization.
On July 3, 2020, USDC market cap broke the $1 billion threshold for the primary time for the reason that stablecoin was launched in October 2018. In keeping with information from Coin360, the coin has seen sharp progress since March 2020.
USDC, the second-largest USD-pegged stablecoin after Tether (USDT), is ranked the 17th largest cryptocurrency by market cap as of press time.
USD Coin all-time chart. Supply: Coin360
Asserting the information on Thursday, the Centre Consortium — a company co-founded by Circle and Coinbase — highlighted numerous elements that contributed to USDC’s notable progress. In keeping with Centre, the demand for USDC in 2019 was primarily pushed by the progress of the decentralized finance, or DeFi ecosystem.
Three main elements introduced speedy progress in 2020
Centre identifies three main developments that pushed the sharp progress of USDC: the coronavirus-fueled monetary disaster, the elevated demand for low-cost transfers amongst companies worldwide, and the affect of huge progress within the Compound protocol, a serious DeFi venture. Centre added that it anticipates extra progress in 2020:
“We anticipate USDC to proceed rising quickly all through 2020 and assist fulfill Centre Consortium’s mission of building an open commonplace for cash on the web.”
Stablecoins submit huge progress over the course of 2020
USDC’s progress comes according to total progress within the stablecoin market. Tether, the biggest USD-pegged stablecoin, crossed a $10 billion market cap on July 1 — a 144% progress from the beginning of 2020. The information got here quickly after Tether overtook main altcoin XRP to develop into the third largest cryptocurrency by market cap in March.
On June 24, the Centre introduced a multi-chain USDC Framework, that includes the Algorand blockchain as the primary community to energy USDC on one other blockchain.