USDC largest single burn in a day is the highest redemption on record when $723.5 million was paid to a null address and burned.
Up to March 14, over $6.2 billion USDC has been redeemed, with roughly $1.66 billion minted, bringing the total to just over $4.5 billion in net redemptions.
Concerns over the reserves backing USDC becoming locked in bankrupt U.S. regional banks first encouraged redemptions on March 9 and March 10 before they were halted.
Federal bank regulators in the United States subsequently guaranteed the complete restoration of customer deposits from Silicon Valley and Signature Bank.
Circle resumed business with a consistent flow of atonements which led to USDC largest single burn in a day.
Circle and USDC
Last week, Circle was struck with a bank run after admitting it held $3.3 billion worth of stablecoin holdings in the now-collapsed Silicon Valley Bank which resulted in USDC losing its dollar peg.
The events of the previous week had an effect on USDC’s liquidity operations, according to Circle’s statement.
Specifically, it attempted to “re-initiate services with alternative banking partners, including payment and USDC redemption services,”
Circle claimed to have used the same banking partner “for international wires to and from 19 countries” on March 15 after going live with a new banking partner on March 14 for U.S. wires.
About USDC
USD Coin (USDC) is a fiat-collateralized stablecoin that is fully backed by U.S. dollar assets.
USDC is a tokenized U.S. dollar, with the value of one USDC coin pegged 1:1 to the value of one U.S. dollar.
The value of USDC is designed to remain stable, making USDC a stablecoin.
About Kumo
Kumo, registered as Kumo Technologies Inc in Delaware, U.S. is a fiat and crypto social payment app which allows users to exchange fiat (NGN) to crypto, save and earn interest in dollar with as low as $5, utility payment such as DSTV subscription, airtime, data among others.
Kumo wallet is your all-in-one social payment app for seamless payment solutions.
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