Is Vitalik Buterin Supporting USDC Amid Heavy Depegging?

USDC Crash News: Silicon Valley Bank collapse turns out to be the biggest bank to fall since the financial crisis erupted in 2008. However, this crisis has also indulged the cryptocurrency industry with it. U.S. digital asset firm Circle stated that it has $3.3 billion stuck in the collapsed bank which sent out a massive shockwave in the market.

USDC Got Vitalik’s Back?

USD Circle (USDC), a dollar backed stablecoin, registered a massive depegging event after its issuer announced funds reserved in the SVB. USDC price dropped by over 10% in the last 24 hours. Collapsing from its $1 pegged value, USDC went on to trade at $0.90.

Amid this time of crisis, Ethereum co-founder Vitalik Buterin seems to be supporting the depegged stablecoin. As per the data, Vitalik labeled wallet address converted several digital tokens into the USDC.

PeckShieldAlert reported that Vitalik’s labeled address deposited 500 Ethereum in the Reflexer. Then he went on to mint 150K Rai Reflex Index (RAI) amid the ongoing crisis. However, the address swapped 132.5k RAI for 378.5K USDC. while the remaining 17.5K RAI was swapped for 50K DAI, another depegged stablecoin within a few hours.

Stablecoins In Trouble? USDC, DAI, USDD Depeg As SVB Crisis Deepens| Read More Here

Earlier, Vitalik stated that he is optimistic about the RAI model. Reflexer (RAI) is an algorithmic stablecoin that is non-pegged and is solely collateralized by Ethereum.

Rai Reflex Index is down by 4% in the last 24 hours. RAI is trading at an average price of $2.67, at the press time. However, its 24 hour trading volume has spiked by 187% to stand at $1.7 million.

However, the institutions holding USDC are on a selling spree. As per Look On Chain data, IOSG Ventures’ related institution went on to sell 118.73 million of USDC for 105.67 million USDT. It also included 2,756 Etherem (approx worth $4 million).

Recommended
Price Analysis

Best Crypto Presales To Invest In September 2025 – Top Upcoming Presale Tokens

Best Crypto AI Trading Bots In 2025

Top Meme Coins To Buy In September 2025

Ashish Kumar

Ashish believes in Decentralisation and has a keen interest in evolving Blockchain technology, Cryptocurrency ecosystem, and NFTs. He aims to create awareness around the growing Crypto industry through his writings and analysis. When he is not writing, he is playing video games, watching some thriller movie, or is out for some outdoor sports. Reach me at [email protected]

Why trust CoinGape: CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journalists and analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.

Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.