USDC valued at $0.9999 as market cap hits $56.3B

Circle's USDC (CRYPTO:USDC) has demonstrated a strong recovery, achieving a market capitalisation of $56.3 billion on February 10, fully recovering from losses sustained during the previous bear market.

The surge signifies increasing favor for stablecoins within the DeFi sector.

According to CoinGecko data, this $56.3 billion valuation represents a 23.4% increase from $45.6 billion on January 8.

The stablecoin had hit its lowest point during the crypto bear market in November 2023, at $24.1 billion.

The rebound is attributed to Circle's strategic expansion into additional blockchains, including Sui (CRYPTO:SUI), Aptos (CRYPTO:APT), and Solana (CRYPTO:SOL).

The company also minted $6 billion of USDC on the Solana blockchain in January 2025.

While USDC has shown remarkable growth, Tether (CRYPTO:USDT) continues to lead the stablecoin market with a capitalisation of $141.6 billion as of February 10.

DefiLlama data indicates that USDT holds 63% of the stablecoin market share, while USDC's share has grown to 25%, up from 19.4% a year prior.

US policymakers are increasingly focused on stablecoin regulation.

The Trump administration aims to promote stablecoin innovation within the U.S., with stablecoins potentially extending the dollar’s dominance internationally and digitally, according to former White House AI and crypto czar David Sacks.

Senator Bill Hagerty has introduced legislation to create a safe and pro-growth regulatory framework for stablecoins.

Stablecoins play a critical role in digital payments and are used as a hedge against inflation, especially in developing economies.

They also allow holders to earn yields on decentralised protocols, similar to earning interest in traditional bank accounts.

The market capitalisation for stablecoins has risen from $121 billion in August 2023 to $224 billion as of February 10, indicating growing demand for digital dollar alternatives.

At the time of reporting, the USDC (USDC) price was $1.