Capital Flow from USDT to Other Stablecoins
Traders and institutional investors have begun actively reallocating capital from USDT to other stablecoins, such as USDC, due to upcoming changes on Binance.
Starting March 31, the world’s largest crypto exchange will cease support for USDT in the Eurozone, forcing users to adapt to new conditions. This decision has significantly increased demand for USDC, as traders prepare for Tether’s removal from the list of available assets in Europe.
Growing Stablecoin Market Capitalization
The total stablecoin market cap increased to $227.4 billion over the past week.
– During the same period, USDC’s supply grew by $1.5 billion, reaching $58.07 billion.
– USDT’s market cap stands at $143.5 billion, accounting for 63% of the total stablecoin market capitalization.
Despite USDT’s continued dominance, demand for alternative stablecoins is rising. This is due to regulatory changes and concerns about Tether’s resilience to potential regulatory risks.
Lummis: The U.S. Needs a Strategic Bitcoin Reserve
U.S. Senator Cynthia Lummis has once again called for the creation of a strategic Bitcoin reserve, stating that the dollar depreciates every year, while Bitcoin continues to grow.
> “The dollar loses purchasing power every year, while Bitcoin, on the contrary, gets stronger. If we want to protect the U.S. economy, we need to include Bitcoin in our national reserves,” Lummis said.
SEC May Recognize XRP as a Commodity
According to media reports, the SEC is considering classifying XRP as a commodity, similar to how Ethereum (ETH) was designated.
If confirmed, this could be a major turning point in Ripple’s legal battle. The SEC initially claimed that XRP was a security, leading to a prolonged legal dispute with Ripple.
Recognizing XRP as a commodity could ease regulatory pressure and significantly improve its market standing.
OKX Secures EU License for Derivatives Trading
Crypto exchange OKX has received an official license to launch derivatives products for institutional investors in the European Union.
This decision opens new opportunities for hedge funds, banks, and professional traders, allowing them to trade crypto-related derivatives under a regulated EU framework.
OKX’s expansion into Europe also highlights the **growing institutional interest** in cryptocurrency derivatives.
The crypto market continues to adapt to new realities:
– Traders are reallocating capital from USDT to USDC in response to Binance’s Eurozone policy changes.
– Senator Lummis pushes for a Bitcoin reserve to safeguard the U.S. economy.
– The SEC considers XRP as a commodity, potentially leading to regulatory relief.
– OKX expands in the, offering **derivatives products for institutional investors**.
These developments indicate that the crypto market is becoming increasingly institutionalized, while governments and financial organizations continue to explore ways to integrate digital assets.
