JPMorgan: The on-chain rise of USDC surpasses USDT, and institutional adoption along with regulatory compliance is key.

Jinse Finance reports that JPMorgan analysts claim that Circle's USDC stablecoin has surpassed Tether's USDT in on-chain activity and market capitalization growth. Since January this year, USDC's market capitalization has risen from about $43 billion to around $74 billion, an increase of 72%, which is significantly higher than USDT's 32% growth during the same period. Analysts point out that USDC's growth is due to a clearer regulatory framework, transparent reserve management, regular audits, and compliance advantages under the European MiCA regulations, along with a steadily increasing institutional adoption rate. In contrast, USDT, which is not authorized under MiCA, has faced delisting from exchanges in Europe, while USDC has promoted on-chain settlement and merchant payments through integration with payment networks such as Visa, Mastercard, and Stripe. Additionally, the increase in decentralized finance activities of USDC on blockchains like Solana and Base, as well as Circle's Cross-Chain Transfer Protocol (CCTP) supporting secure cross-chain transfers, has also contributed to its growth.