- USD Coin(USDC) has come historically close to Tether (USDT).
- There is now only $10 billion separating the two biggest stablecoins.
- USDC & USDT account for more than 80% of total market share.
Currently, the biggest stablecoins in the industry are Tether (USDT) and USD Coin(USDC). However, till a year ago, Tether was undoubtedly leading the market. Now, USD Coin is overtaking faster and growing at a greater speed than Tether. USD even overtook Tether last month. Stablecoins are present on various smart contract blockchains such as Ethereum (ETH), Avalanche (AVAX), Solana (SOL), and Algorand (ALGO).
Since May, the market cap of USDC has increased by 8.27%. On July 2nd, it reached its highest level of $55.9 billion. On the contrary, USDT went through a drop of 19% in its market valuation. At the time of writing, it was trading at around $66.14 billion.With these numbers, USDC for the first time has threatened the position of USDT.
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As of August 2020, the USDT to USDC market cap ratio was more than 9. But in July it dropped down to the lowest on record, which is 1.20. Experts believe USDC can outperform USDT in terms of market cap in weeks or months. The two stablecoins now only have less than $10 billion separating them. It is also interesting to note that USDC has already surpassed USDT in terms of “real volume” on top of the Ethereum blockchain.
USDC is a tokenized version of USD, launched in 2018 by Coinbase and Circle. USDT can transfer value around the world in a quick and less expensive way. It provides a much better access to cryptocurrencies. It is an open source protocol that helps assets to be more user-friendly. Businesses and individuals both can access it. In addition, it provides USDC payments solutions. USDC are stored in different accounts either in the form of cash or short-term USD with regulated financial institutions.
Meanwhile, USDT is the largest stablecoin in terms of market cap. Both USDC and USDT together make up 80% of total market share.
Source: https://www.thecoinrepublic.com/2022/07/07/is-usdc-going-to-take-over-usdt/