Circle, the firm behind USDC, remains the top stablecoin in circulation despite headwinds from the ongoing crypto bear market.
The cryptocurrency has bounced back from a difficult trading market after Silicon Valley Bank collapsed in mid-March, sending shockwaves across the cryptocurrency market.
However, the coin’s overall market capitalisation has fallen $10 billion USD over the last four months, data from Whalechart revealed.
Conversely, Tether (USDT) gained a massive $14 billion USD the same period. Embattled crypto giant Binance has also seen a $14.6 billion drop in the total market capitalisation of its native BUSD token.
USDC and other stablecoins depegged following the news, triggering negative investor sentiment. Despite the setback, USDC reached 36 percent of all assets.
News from crypto lending firm MakerDAO revealed it had voted on USDC to become its top reserve asset backing its DAI stablecoin.
To date, USDC remains the fifth-largest coin by market capitalisation, data from CoinMarketCap revealed. At the time of writing, its market cap reached $32.8 billion USD with a price of $0.9999.
Following the collapse of Silicon Valley Bank, USDC lost its peg to the dollar and fell to record lows in mid-March. The firm aimed to calm investors and return the stablecoin’s 1:1 ratio with the US dollar.
The cryptocurrency had significant exposure to SVB assets, totalling $3.3 billion of its $40 billion of Circle’s USDC reserves at the now-defunct bank.
