In a significant shift in the stablecoin landscape, Mizuho, a prominent Japanese investment bank, has reported that USDC, the stablecoin issued by Circle, has surpassed Tether’s USDT in transaction volume for the year to date. The report, released on Friday, highlights a notable reversal in the long-term trend where USDT had previously dominated the market from 2019 to 2025.
USDC Gains Momentum
According to Mizuho, USDC recorded an impressive $2.2 trillion in adjusted transaction volume for the year to date, outpacing USDT’s $1.3 trillion. This substantial lead marks a 64% market share for USDC, a significant increase from its previous standings. Mizuho analysts noted that this shift is not just a statistical anomaly but a sign of a broader trend in the adoption and trust of USDC over USDT.
Market Implications and Investor Sentiment
The report has also had a positive impact on Circle’s stock, with Mizuho raising its price target from $100 to $120. Despite the favorable report, Circle’s stock price remained relatively stable following the announcement. However, the investment bank’s analysis underscores the growing importance of transaction volume in determining the success of stablecoins, not just market capitalization.
Tether Still Leads in Market Cap
While USDC has taken the lead in transaction volume, Tether’s USDT remains the largest stablecoin by market capitalization, with a value of about $184 billion compared to USDC’s $79 billion. Mizuho analysts argue that the stablecoin
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