• USDC in circulation fell by 10.2% following a de-peg event on March 11th.
• BUSD’s 24-hour global trade volume decreased to $8.2 billion and the amount of BUSD in circulation shrunk to 8.2 billion from 8.6 billion over 11 days.
• The largest stablecoin by market capitalization, Tether (USDT), has experienced an 8.7% increase in the number of coins in circulation with 75.17 billion USDT currently in circulation.
De-Peg Causes USDC Sell-Off
The stablecoin market has seen significant changes over the past few weeks — including the removal of over 7 billion USDC stablecoins from circulation following the depegging event on March 11.
Since then, USDC and other stablecoins have been re-pegged, and Circle’s stablecoin is currently trading at $1 on several centralized trading platforms as of March 18.
USDC Hit 0.877 Per Coin During De-Peg
On March 6, roughly 43.89 billion USDC was in circulation and on March 17, 7.08 billion USDC was redeemed — falling by 10.2% over 30 days according to on-chain data by CoinGecko.
BUSD Retreats
On March 17, BUSD’s 24-hour global trade volume across different exchanges was $8.2 billion; over the last 11 days 439 million BUSD has been redeemed.
Tether Picks Up Supply
Between both the USDC and BUSD liquidations over the last several weeks, Tether (USDT) —the largest stablecoin by market capitalization— has experienced an 8.7% increase in supply with 75.17 billion USDT currently circulating with an overall market valuation of approximately $75.29 billion.
Conclusion
The recent depegging event and subsequent withdrawl of USDC combined with Paxos‘ Wells Notice issued by the SEC caused major changes within the cryptocurrency stablecoin market that resulted in a decrease of BUSD being traded as well as a significant increase for Tether’s circulating supply leading to its current total market cap value at around $75 Billion USD