The USDC, a stablecoin issued by Circle,has kept its significant positioning in the DeFi market. Following the collapse of its partner Silicon Valley Bank on 10th March, the stablecoin has recovered its share in the liquidity pool of decentralized finance protocol Curve’s 3pool exchange. Currenly, USDC makes up the 36% of the pool’s assets, which has $440 million in assets. Additionally, its share is 37% for DAI and 27% for USDT.

Stablecoin movements are closely watched at all times, but especially during times of stress in the crypto market. On 10th March, the issue of Silicon Valley Bank affected USDC and DAI, leading traders to seek the relative safety of Tether (USDT). Tether’s share reached 2.4% low of the pool’s liquidity, according to crypto fund Hashed data analyst Subin An.

Now, USDC has kept its major position in the DeFi market, according to blockchain intelligence firm Nansen analyst Andrew Thurman. The data clearly shows that USDC is still a widely used trading pair in decentralized exchange pools. Moreover, it is perceived as a primary stablecoin by decentralized autonomous organizations (DAOs) and decentralized lending protocols, such as MakerDAO.

The sudden development in the Silicon Valley Bank has shown that the USDC still is systemically important. Even with most users from the stabilized coin market turning to Tether, USDC has successfully recovered According to the market data, tether has reached a 22-month high of $80 billion market capitalization, which mostly used for facilitating trading in centralized exchanges.

In conclusion, it is clearly represented in the data that the USDC is still a dominant force in the stablecoin market, and more importantly in the DeFi system. Despite the volatility incidents, the USDC managed to revitalize its partnership with Silicon Valley Bank, and strengthen its position in the market. Moreover, the DeFi ecosystem continues to support USDC with the maintained liquidity of the USDC pool.



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