Circle started publishing weekly reports on USDC stablecoin reserves
The initiative aims to increase investor confidence in stablecoin
23.05.2022 - 09:10
403
2 min
0
What’s new? Circle (the issuer of the USDC stablecoin) CEO Jeremy Allaire has announced that the company will publish weekly reports on the asset’s reserves. This move is intended to increase USDC’s transparency operation amid the TerraUSD (UST) rate crash and problems with pegging other stablecoins to the US dollar.
Stablecoin page on the Circle website
What data does the report contain? Circle claims that USDC is fully backed by cash and US Treasury bonds. The company’s weekly reports contain data on the amount of USDC in circulation and the structure of the stablecoin’s collateral. As of May 20, 2022, the circulating USDC supply was 52,9 billion, of which 12,8 billion was secured by cash and 40,2 billion by Treasury bonds.
Between May 13 and 20, 8,6 billion USDC were issued and 6,3 billion tokens were withdrawn from circulation. The increase for the week amounted to 2,3 billion USDC.
What events happened before? On May 8, the rate of the algorithmic stablecoin UST lost its peg to the dollar and dropped to $0,22 over the following days. The rate of its backing token LUNA also plummeted by 86% per day. As of May 23, UST is trading at $0,066 and LUNA at $0,000186 (Binance data). For a full timeline of events surrounding the rate collapse of UST and LUNA, check out GetBlock Magazine’s special feature.
On May 18, SEC chief Gary Gensler predicted the collapse of most digital assets’ rates by analogy with Terra. In his view, the prices of other coins would fall to almost zero, hurting even more investors.
Useful material?
Telegram 
Twitter Market
The company’s unrealized profits from investing in its first cryptocurrency approached $14 billion
Nov 19, 2024
Incidents
The search, the reason for which was not announced, took place a week after the election, the results of which Polymarket users predicted quite accurately
Nov 14, 2024
Market
Analysts point to the growing popularity of the first cryptocurrency as a safe haven asset
Nov 13, 2024
Market
The product will begin trading on the Swiss Exchange on November 19
Nov 12, 2024
Market
The company’s unrealized profits from investing in the first cryptocurrency approached $13 billion
Nov 12, 2024
Market
The company predicts that the rate of the first cryptocurrency will grow to $200 000 by the end of next year
Nov 11, 2024
Cryptocurrency rates
-
Bitcoin
$97 980
BTC
+4.14%
-
Ethereum
$3 347.08
ETH
+9.27%
-
BNB Smart Chain
$579.4
BSC
+1.23%
-
Ripple
$1.17
XRP
+7.54%
-
Dogecoin
$0.38458
DOGE
+3%
-
Cardano
$0.796315
ADA
-0.49%
-
Bitcoin Cash
$484.08
BCH
+11.16%
-
Polkadot
$5.83
DOT
+3.67%
-
Stellar XLM
$0.244588
XLM
+0.58%
-
Litecoin
$88.77
LTC
+6.25%