Stablecoin transaction volume reached a record $1.8 trillion in February 2025, with Circle’s USDC surpassing Tether’s USDT in transfer activity. USDC captured approximately 70% of the total stablecoin transfer volume for the month, marking a historic shift. Exchange stablecoin reserves also climbed to a three-week high of $66.5 billion, signaling increased potential buying power for the cryptocurrency market.
Stablecoin transaction volume reached a record $1.8 trillion in February, with Circle‘s USDC surpassing Tether‘s USDT in transfer activity according to blockchain analytics. This demonstrates dollar-pegged crypto assets are rapidly growing as a new source of liquidity for the wider digital asset ecosystem.
USDC represented around 70% of the total stablecoin transfer volume for the month, highlighting a major spike in adoption. However, its market capitalization remains significantly lower than that of USDT, standing at roughly $77.4 billion compared to approximately $184 billion for USDT.
Founder of Moonrock Capital, Simon Dedic, posted on X that “USDC has consistently flipped” USDT in terms of monthly transfer volume,”even with a much smaller circulating supply.” Blockchain intelligence firm Arkham reports that more than $3 billion worth of USDC were minted in the first week of March.
The total amount of stablecoins being held on exchanges has risen to a three-week high of around $66.5 billion according to data. Approximately $5.14 billion in stablecoins flowed into exchanges on March 5, a significant increase from the $1.14 billion recorded on March 1.
Historically, increases in stablecoin balances on exchanges precede large amounts of market activity. These balances represent purchasing power that can be rapidly redeployed into assets like Bitcoin and Ethereum. Increasing stablecoin transaction volume is indicative of increased liquidity, which will likely provide a boost for the next wave of buying pressure.
