USD Coin (USDC) Takes 56% of Stablecoin Trading Against the Euro

USD Coin (USDC) now holds 56% of stablecoin trading against the euro after exchanges restricted Tether's USDt (USDT) for European Economic Area customers under European Union rules.

The share stood at 10% in January 2024. The shift accelerated after exchanges limited USDT trading for customers in the European Economic Area (EEA) under the EU's Markets in Crypto-Assets Regulation (MiCA). The measure counts stablecoins exchanged against euros, including USDC/EUR pairs; it does not measure stablecoins pegged to the euro. These pairs let customers exchange euros for dollar-pegged stablecoins and return to euros when entering or leaving crypto markets.

USDC's order books for euro pairs have about 40% more depth than USDT's. Tether remains the larger stablecoin globally, with circulating supply about 2.5 times USDC's. USDC's lead is specific to stablecoin-to-euro trading and does not put it ahead of Tether by total supply.

A separate measure tracks tokens backed by euros. Trading in euro-backed stablecoins reached seven to eight times its 2024 average, with weekly volume peaking above $1.5 billion. That activity concerns euro-pegged tokens; the 56% figure measures dollar-pegged USDC traded against euros.

The European Banking Authority (EBA) designated USDC the EU's first “significant e-money token” under MiCA. The classification puts the token under direct EBA supervision and adds regulatory requirements for Circle, its issuer.

Circle has pursued authorization in both Europe and the United States. Tether has taken a separate approach, launching USAT, a stablecoin focused on the U.S. market.

On Wednesday, Oct. 21, the Office of the Comptroller of the Currency (OCC) issued its first final rule under the GENIUS Act, establishing reserve and redemption requirements for stablecoin issuers it supervises. The requirements take effect Jan. 18, 2027. The two dates mark separate stages: issuer requirements start in 2027, while U.S. platforms face restrictions starting in July 2028 on stablecoins from issuers that do not meet the law's approval requirements.