News
Circle Mined 250 Million USDC on Solana
Last week, Circle injected nearly $1 billion in new liquidity into the Solana ecosystem.
Circle Stablecoin Issuer minted $250 million of his USDC token via his treasury wallet on Solana (SOL). At the time of writing, USDC is the largest stablecoin offering in the SOL ecosystem. Circle’s dollar-pegged cryptocurrency comprises $2.35 billion of the $3.34 billion stablecoins on Solana. Only Tether USDTwith its supply of $774.65 million on the SOL network, it is getting close.
USDC has established itself as the unrivaled stablecoin leader on Solana, with integrations on major SOL-based platforms such as the Phantom wallet.
Circle’s Wednesday Mint Solana brought the number of newly created USDC coins on SOL to about $750 million in seven days. The transactions effectively increased the USDC supply on the main L1 blockchain by more than 10%.
Minting new stablecoins on a blockchain usually signals increased demand for the token and a need for additional liquidity within the ecosystem. In other words, the issuer may have minted these coins to meet the demands of protocols and users.
Following the news, Solana’s total value locked (TVL) increased by 0.4%. While the increase is small, the added liquidity to the SOL ecosystem could translate into higher prices for memecoins and Solana’s native token.