SVB Collapse and USDC Reserves: Uncertain Future for Stablecoins

1 min read
Source: Cointelegraph
SVB Collapse and USDC Reserves: Uncertain Future for Stablecoins
Photo: Cointelegraph
TL;DR Summary

Circle CEO Jeremy Allaire has confirmed that the stablecoin issuer has been able to access its $3.3 billion of funds held with Silicon Valley Bank since March 13. The temporarily locked funds had a significant effect on USDC, causing it to briefly de-peg, but the stablecoin's dollar peg has since recovered. Meanwhile, USDT has recorded a slight increase in its market cap since March 11. USDC is over 100% collateralized with over 80% of the reserve consisting of short-dated United States Treasury Bills.

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