The trading volume of stablecoins has reached an all-time high, with Circle’s USDC surpassing Tether’s USDT, according to newly released data.
USDC Continues to Surpass USDT in Trading Volume
According to Allium data, the total trading volume of stablecoins reached $1.8 trillion in February, setting a new record. Stablecoins, designed to maintain a stable value and often pegged to fiat currencies like the US dollar, can operate across multiple blockchains.
Stablecoin Trading Volume | Source: Allium
USDC alone achieved a trading volume of $1.26 trillion in February, marking a significant milestone since its launch in September 2018. This figure is more than double that of USDT, the market-leading stablecoin by market cap, which had a trading volume of only $514 billion during the same period.
Trading Volume by Stablecoin | Source: Allium
Simon Dedic, founder of Moonrock Capital, stated on X (formerly Twitter) that USDC has “consistently outperformed” USDT in trading volume over the past few months. This is surprising given that USDC’s market cap is only half of USDT’s. Currently, USDC has a market cap of $77.4 billion, while USDT leads with $184 billion.
Additionally, the supply of USDC has grown faster than USDT in recent weeks. According to market analysis firm Arkham, over $3 billion worth of USDC was issued in March alone, while USDT’s supply remained nearly unchanged.
Circle Internet Group, the issuer of USDC, reported strong profits in Q4 2025, driven by rapid growth in USDC’s business operations and expansion of payment services, according to Cointelegraph.
Increasing Stablecoin Liquidity Reflects Greater Buying Power
The stablecoin supply ratio (SSR), which is the ratio of Bitcoin’s (BTC) market cap to stablecoin market cap, is “gradually recovering after a sharp decline” in February, said CryptoQuant analyst Sunny Mom. He noted:
“This indicates that buying interest is returning to the market.”
Bitcoin: Stablecoin Supply-Demand Ratio | Source: CryptoQuant
Bitcoin’s recent rally to $74,000 was also fueled by the rebound in stablecoin supply on cryptocurrency exchanges, reaching a three-week high of $66.5 billion on Friday.
Stablecoin Supply on Exchanges | Source: CryptoQuant
The influx of stablecoins into exchanges has contributed to increasing the SSR and pushing Bitcoin prices higher. On March 5 alone, nearly $5.14 billion in stablecoins was transferred to exchanges, a significant jump from $1.14 billion on March 1.
The rise in stablecoin liquidity on exchanges is a positive sign, indicating growing buying power in the cryptocurrency market. Historically, large capital inflows into exchanges have often been a key catalyst, sparking Bitcoin’s bullish cycles.
Mr. Teacher
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