Circle CEO Pumps USDC: “Flight to Quality”

Early bird Circle CEO and founder Jeremy Allaire took to Twitter today to tout USDC, Circle’s dollar-based stablecoin while throwing shade at competitor Tether (USDT) – a competing dollar-based stablecoin.

While algorithmic stablecoin TerraUSD (UST) has lost its footing and can’t get back up, USDC – based on actual dollar reserves or other risk-free assets is holding out just fine.

USDT took a dive early this morning (perhaps why Allaire was up at 4:20AM) cratering to $0.95 – only to recover later. As of this writing, Tether is trading at $0.9926 .

Volume in both USDT and USDC has risen – perhaps due to Tether holders jumping to the competition – as Allaire indicates.

Over the years, Tether has received criticism that it is not fully backed by reserves but has been able to weather the storm and remains the top dollar-based stablecoin in the world. USDC is in 2nd place and closing.

Circle is pursuing a federal bank charter in a move to comply with looming stablecoin regulation that may require stablecoin issuers to have a bank charter or bank charter light. Meanwhile, legislation is moving through Congress that may finally provide specific rules for stablecoins that will be good for the entire crypto market.


Sponsored Links by DQ Promote



Send this to a friend