USDC's supply pushed past $73 billion on a week of heavy issuance, and a new European competitor entered the stablecoin market. Circle's stock fell more than 2% the same day, in step with Coinbase, not ahead of it.
Circle issued roughly $5 billion in new USDC over the past week, pushing the stablecoin's total supply above $73 billion. Binance recorded more than $470 million in USDC inflows over the same window, amid a broader Bitcoin ETF rally.
Circle's stock fell 2.29% intraday the same day, from $92.02 to $89.91. Coinbase, which holds an equity stake in Circle but has no direct USDC-competition exposure of its own, fell 2.87% in the same session. Both stocks remain well below their 52-week highs, Circle's above $159. The two moving together, rather than Circle falling on its own, points to broader softness across crypto-linked equities that day rather than a reaction specific to USDC's growth. Why USDC's own record issuance week coincided with a decline in the company that issues it remains unexplained.
Separately, Revolut launched a euro-denominated stablecoin, EURR, adding a new entrant to a market that has, until now, been dominated by USDC and Tether's USDT. What the launch means for Circle's or Tether's market share going forward isn't yet established.
Two claims connected to this story elsewhere don't hold up to scrutiny. A report that traditional banks are exploring competing stablecoins traces to an unnamed source, with no institution or product identified. And a characterization of Tether facing "its first real regulatory squeeze" in Europe isn't tied to any specific regulatory action. Both would meaningfully change the shape of this story if confirmed. Neither is confirmed.
Circle's balance sheet is growing at a record pace, and a new competitor has entered the market. Its stock fell in step with its closest peer, not on any USDC-specific news. Whether the stock catches up to the growth, or the growth slows to meet a market that's already pricing in competition that hasn't yet materialized, is the question now hanging over the story.