It looks like the armies are gearing up for a battle of stablecoins. Wanting on the prime ten cryptos by market cap, it’s clear that Tether [USDT] reigns supreme. Nevertheless, USD Coin [USDC] is the fifth largest crypto by market cap and the second largest stablecoin. In tenth place at press time was TerraUSD [UST].
So, is there an opportunity of UST knocking over USDC any time quickly?
Conflict of the Titans
For starters, let’s check out the market caps of the 2 stablecoins. At press time, USDC boasted a market cap of round $49,172,892,190, placing it between BNB [BNB] and Ripple’s XRP.
In the meantime, UST had a market cap of round $18,639,297,415, placing it between Cardano [ADA] and Binance USD [BUSD]. As anticipated, it’s clear that UST must greater than double its market cap to match USDC.
On that observe, nonetheless, let’s evaluate volumes for the 2 stablecoins. USDC noticed volumes of round 4.12 billion at press time. Whereas volumes have been rising since round 24 April, the final vital spike came about in February 2022.
Supply: Santiment
In the meantime, when coming to UST, we will see that the stablecoin recorded volumes of round 540.59 million at press time. Volumes have been constant since about 25 April, but it surely’s simple that UST remains to be a great distance off from matching as much as USDC.
Supply: Santiment
What’s your change coverage?
change provide can present us the demand for each stablecoins. At press time, USDC was quickly leaving the exchanges, and multiple billion was eliminated between 2 April and a couple of Could. This exhibits booming demand for the asset.
Supply: Santiment
However, UST was additionally leaving the exchanges however mentioned volumes had been nowhere close to these of USDC. In actual fact, April noticed hundreds of thousands of UST returning to the change earlier than launching right into a pattern of UST exiting exchanges.
Supply: Santiment
Lastly, it’s essential to keep in mind that the place Terra is anxious, different belongings additionally come into play. In actual fact, the Luna Foundation Guard (LFG) Reserves had a complete of $1.96 billion at press time. Out of this, round 148.66 million was in USDC whereas 26.28 million was held in USDT.
