Cardano has launched a USDC-backed stablecoin called USDCx in collaboration with Circle, expanding dollar liquidity on the network. The integration provides direct access to Circle’s xReserve framework for minting and redeeming. Despite a rising stablecoin market cap near $34 million, broader DeFi activity remains subdued, with Total Value Locked (TVL) at over $137 million and low network usage.
Cardano has deployed USDCx, a stablecoin infrastructure backed by USDC and developed with Circle. This marks a significant expansion of dollar-denominated liquidity for the network by connecting it directly to Circle’s xReserve framework. Users can mint and redeem USDCx on a 1:1 basis against reserved USDC.
The rollout includes immediate live integrations across major Cardano DeFi applications like Minswap, Liqwid, and SundaeSwap. The design also allows for deposits and withdrawals via supported centralized exchanges without requiring direct interaction with Ethereum.
On-chain data shows a clear divergence in the ecosystem’s metrics. Cardano’s stablecoin market capitalization has trended higher, while total value locked continues to decline from earlier cycle peaks.
As of this writing, the stablecoin market cap on Cardano was around $34 million, with a TVL of over $137 million. This pattern suggests capital is entering in a conservative, dollar-denominated form but has not yet rotated into yield strategies or leveraged DeFi positions.
This disconnect is also visible in usage metrics, with recent DEX volumes remaining modest and network fees low. In practical terms, Cardano appears to be strengthening its financial rails ahead of a potential broader recovery in on-chain activity.
The launch arrives as Cardano’s DeFi ecosystem recovers from a prolonged downturn, having historically lagged peers in stablecoin depth. By prioritizing this infrastructure now, the network is positioning itself for payments, treasury management, and institution-aligned DeFi use cases.
