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USD Coin supply drops $1.5B in 30 days amid rising transaction volume and stablecoin liquidity tightening

Market News
08 Aug 2026
Crypto Briefing
View Source
Bullish
USD Coin supply drops $1.5B in 30 days amid rising transaction volume and stablecoin liquidity tightening

USD Coin's circulating supply decreased by $1.5 billion from $73.3 billion to $71.8 billion over just five weeks, with a sharp $1 billion drop in a single week during late July and early August. Despite this contraction, USDC's on-chain transaction volume surged 151% year-over-year, reaching $14.8 trillion in Q2 2026. Circle, the issuer, reported record revenue of $701 million in Q2 2026, benefiting from reserve income while maintaining full backing of USDC supply with cash and short-term Treasuries. The company also extended its Coinbase partnership and secured regulatory approvals, positioning itself well amid evolving stablecoin regulations.

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