The duel between the two largest stablecoins on the market has just experienced an unexpected turn. According to a report from investment bank Mizuho, Circle's USDC has surpassed Tether's USDT in adjusted volume since the start of the year, a key indicator for measuring the actual usage of these currencies. This shift does not yet call into question the dominance of Tether in capitalization, but it reveals an evolution in the way in which these assets are used. The stablecoin market now finds itself divided between financial power and effective use.
In brief
- A report from investment bank Mizuho reveals that Circle's USDC has surpassed Tether's USDT in adjusted volume since the start of the year.
- Data indicates that USDC represents approximately $2.2 trillion in volume, compared to USDT's $1.3 trillion.
- This advance corresponds to approximately 64% of the total adjusted volume among the two major stablecoins.
- Despite this progression of USDC, USDT remains largely dominant in capitalization, with around 184 billion dollars compared to 79 billion for USDC.
USDC Surpasses USDT in Adjusted Trading Volume
As charities embrace stablecoins in large numbers, a report from investment bank Mizuho reveals a notable shift in stablecoin dynamics. According to analysts, Circle's USDC has surpassed Tether's USDT in adjusted trading volume since the start of the year.
The study noted that “USDC accounts for approximately 64% of total adjusted volume among the top two stablecoins”. This result is based on a methodology aimed at measuring real economic activity on blockchains.
THE main data highlighted in the analysis are the following:
- USDC: approximately $2.2 trillion in year-to-date adjusted volume;
- USDT: around $1.3 trillion over the same period;
- 64% volume share for USDC;
- Volumes corrected to exclude certain internal or artificially inflated transactions.
This approach aims to provide a more precise view of the actual use of stablecoins in the crypto ecosystem. The adjusted volume makes it possible to isolate transfers linked to economic activity (payments, transfers or financial transactions) by eliminating movements likely to distort the statistics.
A persistent domination of Tether in capitalization
Despite this advance in transactional volume, USDT maintains a dominant position in the stablecoin market in terms of capitalization. On-chain data cited in the analysis indicates that Tether has a capitalization of around $184 billion, compared to around $79 billion for USDC. This difference illustrates the historical weight of Tether in the crypto ecosystem, particularly on exchange platforms and in emerging markets.
Mizuho analysts highlight an important distinction between these two indicators. According to them, “the stablecoin that dominates could be the one used in everyday payments, and not necessarily the one with the largest capitalization”. This observation highlights the growing importance of actual usage in assessing the position of stablecoins.
In this context, the bank also raised its price target for Circle stock from $100 to $120, a sign of renewed confidence in the USDC issuer's business model. However, the stock did not immediately react to this announcement.
If this trend continues, it could signal a more profound evolution in the stablecoin market. The balance between market liquidity, institutional adoption and use in payments could gradually reshape the hierarchy of the sector. For now, the duel between USDC and USDT remains open, with two different metrics each telling part of the story.
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