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Uncategorized

USDC Whale Holdings Percentage At Its Lowest Level In Nearly Two Years

August 22, 2022 - Around 2 mins mins to read

As the bear market in cryptocurrencies persists, the proportion of USD Circle (USDC) stablecoins held by significant wallet addresses fell to its lowest level in almost two years.

USDC Whale Holdings Percentage At Its Lowest Level In Nearly Two Years
USD Circle Whale Holdings Percentage At Its Lowest Level In Nearly Two Years

The newest data on USD Circle measures, which reflect a recent sell-off of the second-largest U.S. dollar-backed stablecoin by market capitalization, has been made public by cryptocurrency analytics company Glassnode.

The U.S. Treasury Department’s sanctions against cryptocurrency mixer Tornado Cash had a significant impact on the capitalization of both USD Circle and its main rival, Tether (USDT).

The market capitalization of USD Circle decreased after its issuer Circle chose to freeze over 75,000 USD Circle tokens held by addresses connected to Tornado Cash, whilst USDT markets saw growth of almost $2 billion in the days following the penalties.

Given the similarity between the rise and fall of each stablecoin’s market cap, several commenters have argued that some users may have switched their cash from USDC to USDT.

The top 1% of addresses now own a 22-month low of 87.667% of all USDC

USDC Whale Holdings Percentage At Its Lowest Level In Nearly Two Years
USDC Whale Holdings Percentage At Its Lowest Level In Nearly Two Years

On-chain data indicates that USDC has been declining over the past two weeks, but measures made public by Glassnode on August 22 also indicated that the seven-day moving average of USDC exchange deposits had fallen to its lowest level since March 2021.

While the market cap of USDC might be down, the stablecoin reached a three year high in terms of weekly mean transaction volume, surpassing the previous high registered in June 2022.

In July 2022, USDC was predicted to come within $11 billion of Tether’s market cap and challenge USDT as the leading stablecoin of 2022 based on market capitalization. Since the Tornado Cash fiasco, this percentage has decreased.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

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Annie

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Glassnode

Tornado cash

USD Circle

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USDC Whale

USDT

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Annie

Championing positive change through finance, I've dedicated over eight years to sustainability and environmental journalism. My passion lies in uncovering companies that make a real difference in the world and guiding investors towards them. My expertise lies in navigating the world of sustainable investing, analyzing ESG (Environmental, Social, and Governance) criteria, and exploring the exciting field of impact investing. "Invest in a better future," I often say. That's the driving force behind my work at Coincu – to empower readers with knowledge and insights to make investment decisions that create a positive impact.
Uncategorized

USDC Whale Holdings Percentage At Its Lowest Level In Nearly Two Years

As the bear market in cryptocurrencies persists, the proportion of USD Circle (USDC) stablecoins held by significant wallet addresses fell to its lowest level in almost two years.

USDC Whale Holdings Percentage At Its Lowest Level In Nearly Two Years
USD Circle Whale Holdings Percentage At Its Lowest Level In Nearly Two Years

The newest data on USD Circle measures, which reflect a recent sell-off of the second-largest U.S. dollar-backed stablecoin by market capitalization, has been made public by cryptocurrency analytics company Glassnode.

The U.S. Treasury Department’s sanctions against cryptocurrency mixer Tornado Cash had a significant impact on the capitalization of both USD Circle and its main rival, Tether (USDT).

The market capitalization of USD Circle decreased after its issuer Circle chose to freeze over 75,000 USD Circle tokens held by addresses connected to Tornado Cash, whilst USDT markets saw growth of almost $2 billion in the days following the penalties.

Given the similarity between the rise and fall of each stablecoin’s market cap, several commenters have argued that some users may have switched their cash from USDC to USDT.

The top 1% of addresses now own a 22-month low of 87.667% of all USDC

USDC Whale Holdings Percentage At Its Lowest Level In Nearly Two Years
USDC Whale Holdings Percentage At Its Lowest Level In Nearly Two Years

On-chain data indicates that USDC has been declining over the past two weeks, but measures made public by Glassnode on August 22 also indicated that the seven-day moving average of USDC exchange deposits had fallen to its lowest level since March 2021.

While the market cap of USDC might be down, the stablecoin reached a three year high in terms of weekly mean transaction volume, surpassing the previous high registered in June 2022.

In July 2022, USDC was predicted to come within $11 billion of Tether’s market cap and challenge USDT as the leading stablecoin of 2022 based on market capitalization. Since the Tornado Cash fiasco, this percentage has decreased.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Join CoinCu Telegram to keep track of news: https://t.me/coincunews

Follow CoinCu Youtube Channel | Follow CoinCu Facebook page

Annie

CoinCu News