USDC Dominance Index Falls to 23% in a Year

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Amidst macroeconomic risks, many cryptocurrency investors redirected their capital towards stablecoins for their dollar-backed benefits.

Tether (USDT) quickly became the main beneficiary, increasing its market share to its highest level since spring 2022.

The USDT dominance index rose from 47% to 65.89%. On the other hand, USDC’s dominance plummeted from 34.88% to 23.05% over the 12-month period.

According to CoinGecko, USDT’s capitalization exceeded $83 billion, while USDC’s supply decreased from $55 billion to $29 billion.

In light of the current banking crisis in the US, Circle, the issuer of USDC stablecoins, faced difficulties.

Nonetheless, Circle CEO Jeremy Allaire announced that USDC has no liquidity problems, and investors can easily exchange virtual currency for fiat money.