The latest updates on USD Coin

USD Coin, Circle’s stablecoin, has fallen from a valuation of about $47.20 billion 30 days ago to today’s market capitalization of $42.54 billion, as the number of tokens in circulation of the stablecoin project dropped 10.3%.

Indeed, more than three billion in value has been wiped out of the stablecoin economy in the past 30 days. The trend occurred despite the fact that the number of Tether in circulation increased by 2.2% last month. 

On 1 October 2022, the market capitalization of Tether was about $67.95 billion and has since risen to $69.36 billion.

Not only USD Coin, many stablecoins experience declines in supply 

The stablecoin economy has lost about $3.32 billion nominal over the past 30 days, according to statistics recorded on 2 November 2022. 

Most of the action has stemmed from the top two stablecoins (USDT and USDC), with the number of USD Coin (USDC) in circulation down 10.3% from last month. 

Archived records show that while the stablecoin project supply lost 9.6% the month before, USDC’s market capitalization fell from $47.20 billion to $42.54 billion in October.

Records published on 1 October 2022 also show that the number of Tether coins in circulation (USDT) increased by about 0.6% the month before. For the entire month of October, USDT coins in circulation, according to statistics from coingecko.com , show that the supply has increased by 2.2% since then. 

At that time, 30 days ago, the market capitalization of Tether was about $67.95 billion, and as of 2 November 2022, USDT’s market capitalization is currently valued at $69.36 billion. USDC has not been the only stablecoin to experience 30-day supply declines since 1 October, as a myriad of stablecoins have seen supply reductions.

In detail, the declines of the major stablecoins

Not only USD Coin, other major and prestigious stablecoins have also seen significant declines. For example, the stablecoin DAI, issued by the MakerDao project, saw a 10.7% decrease from last month. 

Frax (FRAX) saw a decline of 11.1% and dollar PAX (USDP) fell 2.2%. TrueUSD (TUSD) declined 7.4% and Tron’s USDD stablecoin supply fell 7.2% over the past 30 days. 

While BUSD’s supply increased by 8.1% at the end of September, the total number of BUSD coins in circulation increased by 2.9% last month.

BUSD’s market capitalization is now more than half of USDC‘s valuation, as the number of BUSD coins in circulation accounts for 50.82% of USDC’s supply. Another interesting factor that occurred within the stablecoin economy was the recent depegging event of HUSD.

Three days ago, Bitcoin.com News reported that HUSD had slipped to historic lows and is now trading well below that number today. HUSD is currently trading hands for $0.324 per unit on 2 November 2022. 

HUSD has fallen to an all-time low at $0.283 and is currently 14.4% above the all-time low, but the current value of the token is not even close to the $1 parity it once held on 1 October 2022.

USD Coin and regulatory approval from Singapore 

In a recent development, the stablecoin issuer Circle has received approval in Singapore. According to the report, the Monetary Authority of Singapore (MAS) has signed the licenses for the company. 

Importantly, licenses and regulatory approvals have become mandatory in almost all jurisdictions for cryptocurrency-related companies. Most countries use regulatory approvals as a measure to monitor and control the operations of companies.

In addition, regulators scrutinize the services and products offered by companies to checkmate fraudulent activities such as money laundering and sneaky pulls. 

In addition, regulators do this to improve the security of investors’ funds.

The stablecoin issuer has announced the approval of its license. The license will allow the company to offer the coin and virtual payment token products in Singapore.

Circle, the issuer of USD Coin (USDC), is pegged to the US dollar.

Circle has received approval in principle for a principal payment institution license. This will enable the company to make domestic and cross-border payments. It would also begin issuing cryptocurrency in Singapore.

What the approval of the license for USD Coin means 

Circle’s Chief Strategy Officer and Head of Global Policy, Dante Disparte, reported on the benefits of the approval. Disparte noted that the company’s license would create greater potential for digital assets. 

In addition, Singapore will witness positive changes in payment systems that will ensure economic growth.

For his part, Circle CEO and co-founder Jeremy Allaire said that Circle has just obtained a license from a major global financial hub. 

According to Allaire, this will facilitate the company’s expansion goals in achieving economic prosperity in regional and global aspects.

Cryptocurrency regulations in Singapore were at a stricter level by the end of 2021. MAS disqualified more than 100 applicants out of 170 during the period.

In addition, the regulator took stricter regulatory measures following the cryptocurrency crisis in the first half of 2022. This bearish trend caused some Singapore-based companies, such as Three Arrows Capital (3AC), to go bankrupt.

USD Coin payments enabled by Worldplay on Polygon

Payment platform Worldpay, a subsidiary of FIS Group, announced that it will enable USD Coin (USDC) payments and settlements for customers on the Polygon network.

The move is in line with the platform’s goal of running a Polygon Validator node. Validators are on-chain entities that provide computing power to proof-of-stake networks to process on-chain data and confirm transactions. 

Nabil Manji, SVP, Head of Crypto and Web3 at Worldpay, said Worldpay’s entry into the Polygon network as a validator would demonstrate the potential of the Polygon PoS chain for financial services.

The announcement was made during the ongoing SIG FinTech Festival, and, according to it, is part of a broader strategy to become the first global commercial acquirer and Fortune 250 company to become a Polygon Validator.