On June 16, Circle, the issuer of the USD Coin (USDC), achieved a significant milestone as its shares rose to $165.60, resulting in a market capitalization of $33.617 billion.
Overview of the Stablecoin Market
An analysis by Wu Blockchain on June 16 showed that **USDT (Tether)** remains the leader with a market value of $155.51 billion, backed by a combination of US dollar reserves and short-term Treasury bills. **USDC (Circle)** holds the second position with a market value of $61.58 billion and is similarly supported by cash and government securities.
Collateral Models and Risk Perception
The reliability of stablecoins is directly tied to their collateral structures. Projects backed by traditional US dollars and Treasury (USDT, USDC, PYUSD) currently dominate the market. Hybrid models like USDE (ETH + derivative protection) or crypto-heavy projects like USDS offer potential returns but come with added risks. Gold-backed stablecoins like XAUY and PAXG serve as hedges against inflation.
Models Used by Central Banks
Interesting projects like **USD I**, linked to former President Donald Trump ($2.19 billion), **FDUSD** by First Digital ($1.51 billion), and PayPal-backed **PYUSD** ($0.96 billion) also attract attention. Market data indicates that investors primarily gravitate toward stablecoins backed by US dollars and government bonds.
The recent rise in Circle's shares and the steady growth of stablecoins highlight their significance in the financial market and increasing regulatory scrutiny.
