In terms of institutional acceptance, USD Coin (USDC), a stablecoin released by the American company Circle Financials Ltd, is overtaking Tether (USDT), its main opponent.
The market value of USDC coins now in use is approximately $44 billion, compared to USDT’s $65.42 billion. However, according to data from Glassnode, USDC has consistently outperformed USDT in terms of daily transfer value on the Ethereum blockchain. In contrast to the USDT’s $5 billion daily transfer, the USDC’s daily transfer as of November 22 was almost $14 billion.
In other words, USDC users make considerably more capital transfers than USDT users, indicating that USDC is becoming a more popular stablecoin among high-net-worth entities like institutional whales, hedge funds, family offices, cryptocurrency exchanges, etc.
As of Nov. 22, USDC is ahead of USDT in terms of supply weight across all smart contracts. It should be noted that the former accounted for 33.75% of the total stablecoin supply that was locked up in staking pools. The supply of USDT is roughly 12.50% in contrast.
However, for tech-savvy institutional traders that lock their money in staking contracts in order to gain income, USDC seems to be a top stablecoin option. This is further evidenced by the fact that, as of Nov. 21, USDC had fewer daily active addresses (40,245) than USDT did (73,000).
Furthermore, so-called “proof-of-reserves” implemented by cryptocurrency trading platforms following the FTX crash appear to contain more Tether than USD Coin, indicating that USDT is probably more popular among retail traders.
These exchanges are KuCoin, BitFinex, ByBit, OKEx, and Huobi, among others. The reserves at Crypto.com are an outlier, with more USDC than USDT. Following the collapse of the FTX exchange over two weeks ago, the market capitalization of USDT fell by around $4 billion.
