USDC, the second-largest stablecoin by market capitalization, has been shedding market share towards its primary rival, Tether’s USDt, on the foremost cost platform BitPay in 2025.
After dominating stablecoin transactions on BitPay in 2024, Circle’s USDC (USDC) noticed its transaction share drop considerably towards Tether’s USDt (USDT), in response to BitPay information shared with Cointelegraph.
In January 2024, USDC’s transaction share on BitPay accounted for 85%, in comparison with USDT’s 13%. By Might 2025, the steadiness had shifted in Tether’s favor, with USDC’s share dropping to 56% of funds, whereas USDT had grown to 43%.
The change in dynamics got here regardless of the optimism round Circle’s public launch in early June in addition to sure regulatory benefits over Tether’s USDT, significantly within the European Union below the Markets in Crypto-Property Regulation (MiCA).
Tether’s USDT high stablecoin by quantity on BitPay
Along with narrowing the hole to its primary competitor by transaction depend, Tether’s USDT stablecoin has additionally led the way in which in cost quantity.
“In 2024, USDC was the token mostly used. Nonetheless, beginning in March of 2025, USDT gained a large share of transaction quantity, exceeding 70% of stablecoin quantity processed by BitPay,” the crypto cost agency reported.
In keeping with BitPay, the shift to UDST might be attributed to “each a development in total stablecoin transactions” in addition to a “swing in present retailers and clients preferring USDT over USDC.”
BitPay’s chief income officer, Invoice Zielke, stated the platform has a “sizable base of customers and retailers in Europe,” however stays centered on rising in america.
“In 2024, USDC transaction depend was nearly double that of USDT,” Zielke famous, including that USDC continues to be the preferred stablecoin on BitPay by transaction depend, although it has tumbled in 2025.
Tether rejects each MiCA and a public launch
Tether’s main place in cost volumes and rising dominance in transaction depend on BitPay towards USDC provide an attention-grabbing perception given the numerous variations between Tether and Circle, together with their approaches to regulation.
Whereas Circle turned the primary world stablecoin issuer to obtain regulatory approval below Europe’s MiCA in July 2024, Tether has repeatedly criticized some MiCA regulation facets, explicitly refusing to adjust to the framework in Europe.
In June, Tether CEO Paolo Ardoino additionally confirmed that Tether has no intention to run an preliminary public providing amid Circle debuting public buying and selling on June 5 after elevating $1.05 billion in its upsized providing.
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Regardless of USDC shedding steam towards USDT on BitPay in 2025, USDC has continued to see notable development in market capitalization previously yr.
In keeping with information from CoinGecko, USDC noticed its market cap surge as a lot as 88% previously yr from round $33 billion to present $61.7 billion. Within the meantime, USDT elevated its market worth by 40% over the identical interval, from $112.5 billion to $158.3 billion.
Moreover, USDC market cap has surged 41% year-to-date, whereas USDT market worth has edged up simply 15.5%.
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