USDC has overtaken USDT in annual transfer volume for the first time, marking a historic shift in the stablecoin market. Artemis Analytics data show USDC processed $18.3 trillion in transfers in 2025, versus $13.2 trillion for USDT, a 39% gap. While USDT remains larger by market cap, the trend signals growing on-chain activity around USDC.
Analysts highlight four drivers behind the divergence: how each stablecoin is used, where liquidity flows, unexpected catalysts, and regulatory timing. USDC dominates DeFi, where traders frequently enter or liquidate positions, and dollars circulate through lending protocols and DeFi exchanges. By contrast, USDT has mostly functioned as a store of value and payments medium, held in wallets and moved less often.
Solana has been pivotal to USDC’s growth, accounting for the majority of the network’s stablecoin supply, while USDT remains more concentrated on Tron. In Q1 2025, Solana’s stablecoin supply rose from $5.2 billion to $11.7 billion, driven largely by USDC inflows. Regulatory tailwinds, including the US Genius Act and Europe’s MiCA framework, have reinforced USDC’s compliance edge.
Total stablecoin trading activity reached $33 trillion in 2025, up 72% from the prior year, with $11 trillion flowing in during Q4. Bloomberg Intelligence projects stablecoin payments could reach up to $56 trillion by 2030, underscoring their role in global finance.
Leave a Reply