New Visa data reveals USDC now accounts for 70% of adjusted stablecoin volume, significantly outpacing Tether's USDT. This indicates USDC has become the dominant stablecoin for on-chain settlement and transaction clearing, while USDT maintains its lead in savings and yield-bearing applications. This "quiet flippening" in volume matters for crypto as it signals a shift in institutional preference for a more regulated and transparent stablecoin for critical infrastructure. The key data point is USDC's 70% adjusted volume share, double that of USDT. Next, watch for how this divergence impacts liquidity provision and institutional adoption across DeFi and traditional finance bridges.
USDC's dominance in settlement volume signals growing institutional comfort with regulated stablecoins for on-chain transactions. This shift could accelerate DeFi adoption by traditional finance, enhancing overall market liquidity and potentially attracting new capital to Bitcoin and Ethereum ecosystems.
The stablecoin market is segmenting, with regulated assets like USDC capturing institutional settlement flows while less regulated options like USDT cater to offshore yield. This bifurcation reflects a maturing market where different stablecoins serve distinct risk appetites and regulatory environments, reinforcing the narrative of institutional capital seeking compliant rails.
Visa data shows USDC carrying 70% of adjusted stablecoin volume, double USDT. How Circle won settlement, Tether kept savings, and what breaks the truce.