The market capitalization of the USDC stablecoin is approaching a record high near $80 billion as demand surges in the Middle East. Data indicates USDC's circulating supply has risen to approximately $79.2 billion, a new all-time high for the dollar-pegged stablecoin.
This increase follows significant supply expansion in recent weeks. One analyst suggests the surge reflects growing investor demand to move funds out of traditional markets, citing strained over-the-counter (OTC) desks in Dubai.
The analyst ties stablecoin demand to turmoil in the UAE’s real estate market, noting a sharp decline in property prices in Dubai. This downturn may be prompting investors to shift capital into digital assets, with some property sellers reportedly accepting cryptocurrency payments directly, offering discounts for Bitcoin purchases.
In related financial news, USDC has reportedly surpassed Tether (USDt) in adjusted transaction volume for the first time since 2019, according to analysis from Mizuho. Despite this shift in activity, Tether remains the largest stablecoin by market capitalization.