Just In: Huge Boost To USDC Expansion After Binance Setback
After top crypto exchange Binance announced plans to soon end support for USDC transactions, the stablecoin made a big move. Circle, the company behind the second largest stablecoin, has now joined hands with investment platform Robinhood. This could be a huge development in not just USDC expansion but also for the crypto ecosystem. In the U.S., Robinhood is a huge player in the traditional stocks purchasing scene.
USDC Expansion Continues After Binance Delisting News
Overall, the partnership is a win-win for either sides considering the fact that USDC is a top 4 ranked cryptocurrency. The stablecoin currently has a market capitalization of $50 billion, following its rival Tether’s USDT at $67.90 billion. The Robinhood USDC pact comes at a time when USDC is growing faster than Tether. In fact, it was recently estimated that USDC would surpass Tether in a very short time.
A report by Arcane found that stablecoins expanded massively in the first four months of 2022. This was before the crypto prices started to dip further and further. Going by the growth rates at the time, it seemed that USDC could soon exceed USDT in market size. While USDC showed a growth rate of 70.4%, USDT was growing at 28.7%. If the same trend continued, USDC would dethrone Tether’s position as the biggest stablecoin by October 2022, the report predicted.
Recently, Binance announced that it would discontinue support for various stablecoins including USDC. Instead, the top exchange will prefer its own token BUSD for stablecoin based transactions. The exchange said the move was aimed at ‘to enhance liquidity and capital efficiency for customers’.
The Bull Run Momentum
However, the turnaround in stablecoin market position is unlikely to happen in the timeframe as per current figures. The Robinhood partnership would surely help USDC’s prospects but the growth would depend on the overall market sentiment. If crypto market catches up speed to return to a bull run, there could be huge activity around stablecoins. On the other side, Robinhood will also benefit from facilitating USDC purchases and redemptions from Circle.
- Senators Reaffirm Commitment to Market Structure Bill After Meeting with Coinbase, Ripple
- How the Crypto Market Could React to the Next Fed Meeting on October 29?
- $1.68 Trillion T. Rowe Price Files for First Active Crypto ETF Holding BTC, ETH, SOL, and XRP
- Standard Chartered Predicts Bitcoin Could Drop Below $100K Amid U.S.–China Trade Tensions
- Rising Demand for Verifiable Crypto Ownership Drives Launch of Trezor Safe 7
- XRP Price Classical Pattern Points to a Rebound as XRPR ETF Hits $100M Milestone
- Chainlink Price Eyes $27 Rebound as Whales Accumulate 54M LINK
- Pi Network Price Wedge Signals a Rebound as Key Upgrades Raise Utility Hopes
- Solana Price Eyes $240 Recovery as Gemini Launches SOL-Reward Credit Card
- XRP Price Prediction Amid Evernorth’s $1B XRP Treasury Plan – Can XRP Hit $5?
- Ethereum Price Targets $8K Amid John Bollinger’s ‘W’ Bottom Signal and VanEck Staked ETF Filing
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal 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.
