Ethereum -based Stablecoin, USDC posted incredible potential compared to Tether for a record 2021 so far.
Analyst from Messari, Ryan Watkins predicts Tether’s record at Ethereum will shrink to less than 50%.
In coming weeks it is very likely USDT’s share of the stablecoin supply on Ethereum will fall below 50% for the first time.
USDC is quickly emerging as the dominant stablecoin on Ethereum in large part due to its growing role in DeFi.
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- Ryan Watkins (@RyanWatkins_) June 29, 2021
The figure also revealed more than half of USDC’s total supply is now in smart contracts with an estimated around $ 12.5 billion.
Since early 2021, based on the total USDC supply cycle (1.3 billion), this stablecoin recorded a growth of over 1,820% with a current cumulative record, 25 billion.
In contrast the USDT only recorded 62.7 billion cyclical supplies with an increase of around 200% over the same time period.
Watkins believes the sharp rise in USDC demand is driven by the popularity of the DeFi sector in recent times. It is not impossible that after this USDC will be the most dominant stablecoin and USDT demand will continue to decline as expected.
At the same time lending protocols such as MakerDao, Aave and Compound recorded the highest number of USDC users. About 23% of USDC’s supply is owned by them.
This raises predictions by the media, this stablecoin will likely be marketed in Avalanche, Celo, Flow, Hedera, Glass, Nervos, Polkadot, Stacks, Tezos, and Tron soon.
