The second-largest stablecoin in the world is seemingly eroding the influence and dominance of the current leader- Tether- as it has been capitalizing rapidly. The landscape of stablecoin is pretty simply a constantly-shifting dynamic but there has been a single trend over the last year which has been quite eye-catching- the dominance of the world’s largest stablecoin has been going down gradually.
Its main opponent, Circle has recently touched a milestone of 50 billion USDC in its circulation, which has been reported by a tweet on Tuesday by Jeremy Allaire, the CEO, and co-founder.
Tether’s Dominance Could Be coming to an end
Allaire went on to mention that although Circle has been putting in a massive number, the massive growth and the ecosystem that surrounds it tell a completely different and varied story. He further added that the USDC has been seeing a growth of 10,000% over the last two years, which has been more than what Tether has been able to manage in the same period of time.
The total supply of stablecoin currently stands at around $177 billion, which equates to around 9.7% of the entire crypto market capitalization. Tether itself commands around 45% of that impressive total, while Circle has slowly been taking with itself a much bigger 29% share as the gap between them keeps on closing. For reference, the last time the world’s largest stablecoin had a dominance of 74%, Circle had around 16% of the same pie.
The market stabilization of the Circle stablecoin went on to expand by around 987% in 2021 according to CoinGecko. At the same time, the supply of Tether held less than a third of the same growth at just 275% in the same period.
