Circle has expanded its USDC issuance on Solana by minting an additional $250 million.
This latest minting raises the company’s total issuance on the blockchain to $1 billion in the past week.
The surge reflects increasing demand for USDC among traders and DeFi protocols within the Solana ecosystem.
Circle Expands USDC Supply on Solana
The latest minting brings Solana’s total stablecoin supply to $11.579 billion. USDC now dominates the blockchain, holding 78% of the stablecoin market. The supply increase aligns with Circle’s strategy to support growing DeFi activities on Solana.
Since January, Circle has minted $8 billion in USDC on Solana. The company expensed $6 billion to the market in January and repeated this action by distributing an extra $2 billion in February. The steady growth suggests rising institutional and retail interest in USDC within the ecosystem.
According to DeFiLlama, USDC’s market cap on Solana has reached $9.093 billion. The stablecoin presently retains the top position among competing stablecoins USDT and PYUSD. The growing adoption indicates confidence in USDC as a preferred digital dollar on Solana.
Tether Remains Key Player on Solana
Despite USDC’s dominance, USDT remains the second-largest stablecoin on Solana. Tether currently has a market cap of $1.968 billion on the blockchain.
This positions USDT as the only major competitor to USDC within Solana’s growing ecosystem.
Tether’s presence on Solana highlights its continued relevance in crypto trading.
USDC continues to be extensively employed for financial transactions and serves as base liquidity and decentralized application foundation.
Its market cap suggests sustained demand, even with Circle’s aggressive USDC expansion.
While USDT lags behind USDC on Solana, it still leads the global stablecoin market.
Tether remains the largest stablecoin in circulation across multiple blockchains, and its overall market presence ensures competition among stablecoin issuers.
Political Figures Fuel Volatility in Memecoins
Solana’s stablecoin market has grown significantly, surpassing $10 billion in January.
The stablecoin market has demonstrated a 110% growth pattern since its previous value of $5.1 billion zoomed up to $10.7 billion during January.
Memecoins have become increasingly popular blockchain members while their market underwent rapid growth.
Memecoins emerged due to the platforms created by Pump.Fun.
The platforms make building and launching memecoins straightforward, thus drawing in new network participants.
The increased activity has boosted the demand for stablecoins like USDC and USDT. U.S. President Donald Trump began the memecoin TRUMP in January of this year.
When first introduced, the token reached $15 billion in market capitalization before its value decreased to $3 billion.
The memecoin market activity of this figure triggered other prominent personalities to investigate their memecoin projects.
Following Trump’s entry into the space, Melania Trump launched her memecoin. Her move made her the first First Lady to introduce a cryptocurrency token.
The trend of political figures launching memecoins has added volatility to the market.
Argentina’s President Javier Milei also became linked to a memecoin project. The token, named $LIBRA, later turned out to be a scam.
Milei now faces legal issues related to the failed project. Political figures participating in memecoins have reacted to market speculations and significant group disputes.
Russia declared its intention to issue a new cryptocurrency back in January.
This decision has resulted in price volatility of these tokens, bringing about both investor interest and regulatory scrutiny.
Research indicates these patterns will have definite and complex effects on the stablecoin market.
