Circle EURC capitalization increased 43% in the last month: data

The rise of EURC, The EURO STABLECOIN Circle, record mark in the midst of commercial tensions and drop in the dollar.

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• The stablecoin backed in euros of Circle grows 43% in a month, surpassing USDG.
  
• The volume of monthly transfers exceeds USD $ 2.5 billion.
  
• The demand is triggered by the weakness of the dollar and tensions with the US.

In the midst of an increasingly volatile macroeconomic environment and growing commercial tensions between the US, and its global partners, investors are exploring alternatives to the dollar. A clear reflection of this trend is the growth seen in EURC, the stablcoin of Circle Backed in euros, which during the last month increased its capitalization by 43%.

Capitalization of EURC increase

According to reports published by various media, The total supply of EURC increased 43% in the last 30 days, registering about 217 million circulating tokens equivalent to USD $ 246 million.

Examining the data at greater depth, we have to EURC It is distributed as follows:

• Network of Ethereum: 112 million tokens (a 35% increase in the last month).
• Network of Solarium: 70 million tokens (a 75% increase in the same period).
• Grid Base: 30 million tokens (30%increase).

This increase positions EURC above Global Dollar (USDG) of Paxos, and just below Rlusd of Ripple In terms of market capitalization, according to data from Rwa.xyz, reviewed by COINDESK.

The increase of the stablecoin was not limited to the issuance of new tokens. The activity in Blockchain He also shot, since the number of active addresses that interact with EURC It rose 66%, reaching 22,000. At the same time, the monthly transfers volume exceeded USD $ 2.5 billion, which represents a 47% leap in just 30 days.

EURC Faced with the domain of the dollar in the stablecoin ecosystem

Despite these advances, EURC It still represents a minimal fraction of the Global Stablecoins market, where tokens linked to the US dollar dominate with a 99% participation overwhelming. In this context, USDC of Circle It has a capitalization of USD $ 58,000 million, while its competitor Tether (USDT) Lead with USD $ 143,000 million.

However, the rise of EURC It may be pointing out a paradigm change, driven by investors who seek to diversify their exposure due to the weakening of the dollar and the economic risks of the US “Liberation Day” carried out at the beginning of the month, where the US president announced the new tariff policies applicable to the partner nations.

EU gains land: adoption and regulation

An example of this transition is observed in the results of Xapo Bank, a financial firm focused on Bitcoin based in Gibraltar. According to his most recent report, reviewed by COINDESK, The deposits in euros grew 50% during the first quarter of the year, exceeding 20% ​​increase in deposits with deposits with USDC In contrast, deposits with USDT More than 13%fell.

“The rapid volume increase occurred in the midst of growing concerns about the future of the primacy of the US dollar and the threat of a recession in the US.” indicates the report of Xapo.

At the same time, the exchanges of Stablecoins between pairs of foreign currencies in decentralized exchanges based on Ethereum They also reached maximums not seen in years. Most of these operations involved the euro-dollar torne, according to data from BlockWorks.

Another factor that has favored EURC It is the progressive retirement of the euro Tether (Eurt) by its issuer, in response to the entry into force of the law Mica of the European Union. This regulatory framework forces emitters and exchanges to comply with new regulatory standards, which has caused several platforms – including Binance— Eliminate USDT of its services for European users since the end of March.

Thus, in a context where the dollar is no longer the incontestable refuge, the growth of EURC It is emerging as a clear indication of interest in digital assets called euros. This phenomenon could mark the beginning of a greater diversification in the Stablecoins market, with Europe gaining prominence as an innovation and financial refuge pole.

Written article with the help of an AI content editor, edited by Angel Di Matteo / Diariobitcoin

Original image of Unspash, edited with Canva

WARNING: Diariobitcoin offers informative and educational content on various topics, including cryptocurrencies, AI, technology and regulations. We do not provide financial advice. Cryptactive investments are high risk and may not be adequate for all. Investigate, consult an expert and verify the applicable legislation before investing. I could lose all its capital.

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